55. The capital of Loyalist Spain was recently moved to (1 Madrid, 2 Valencia, 3 Barcelona, 4 Toledo, 5 San Sebastian).

56. In comparison with the Government in office in France from the spring of 1936 to the spring of 1937, the present Government may be said to (1 have swung slightly to the Right, 2 be more radical, 3 be reactionary, 4 be pseudo-fascist, 5 be nearer that of Soviet Russia).

57. The nation with the heaviest investments in China is (1 France, 2 the U. S., 3 Russia, 4 Great Britain, 5 Germany).

58. Chinese Generalissimo Chiang Kai-shek apparently does not expect to defeat the Japanese forces by direct attacks but hopes that (1 they will soon conquer all the land they want and then cease righting, 2 other foreign nations will step in to check the invasion, 3 the League of Nations will be sufficiently effective in taking action that will force Japan to withdraw, 4 the United States will come to his aid because of the sinking of the Panay, 5 in time Japan will defeat herself through lack of resources).

59. Democracies all over the world considered highly significant the keynote of the Stuttgart congress of Germans abroad, that (1 Nazis must cooperate with all organizations righting democracy, 2 Germans abroad must remain German first and foremost regardless of citizenship under another flag, 3 Germany would soon begin buying only from fascist nations, 4 all fascist nations must prepare for the eventual war against democracy, 5 state funds would be donated to the Rebel cause in Spain and to the cause of Japan in the Orient).

60. If the neutrality act were enforced in the Far Eastern crisis, its first effect would be to (1 blockade the coasts of Japan and China, 2 withdraw all American soldiers, sailors and marines from China, 3 stop shipments of arms from this country to Japan and China, 4 stop all trade between this nation and China and Japan, 5 call a conference of neutrals to deal with the crisis).

61. The new Government of Rumania, headed by Premier Octavian Goga, resembles German fascism in its (1 antiSemitism, 2 abolition of the Monarchy, 3 abolition of all labor unions, 4 abolition of all but one political party, 5 active support of General Franco in Spain).

62. The Far Eastern state which is dominated by Soviet Russia, though nominally a part of China, is (1 Hopei, 2 Shensi, 3 Shansi, 4 Afghanistan, 5 Outer Mongolia).

63. Premier Paul van Zeeland of Belgium resigned because (1 he no longer had the confidence of King Leopold, 2 his own party, the Catholic Centre, deserted him, 3 his known sympathy for German Nazi methods caused the Belgian democratic press to attack him heatedly, 4 the Rexist press attacked him for receiving pay from the Bank of Belgium after becoming Premier, 5 he was unable to balance the national budget after repeated efforts).

64. The Panay incident was a dramatic demonstration of that feature of the Japanese constitution under which the army and navy (1 are pledged to conquer the Orient for Japan, 2 must obey to the letter the orders of the civilian premier, 3 need pay no attention to orders from either the premier or the Emperor, 4 are responsible only to the Emperor and virtually independent of the civilian Government, 5 are responsible only to commanders in the field).

65. Last fall Belgium negotiated treaties with Germany, Britain and France (1 reviving the Locarno Pact smashed by Germany's remilitarization of the Rhineland, 2 setting up reciprocal trade arrangements like those Secretary Hull has gained for the U. S., 3 guaranteeing her neutrality, 4 forbidding the use of poison gas in any future war involving Belgium, 5 pledging mutual armed assistance in case of war).

66. French foreign minister is (1 Pierre Laval, 2 Leon Blum, 3 Andre Tardieu, 4 Francois de La Roque, 5 Yvon Delbos)'

67. A "Popular Front" Government is in power in (1 Loyalist Spain and France, 2 Canada and Mexico, 3 Belgium and Russia, 4 Insurgent Spain and Belgium, 5 France and Poland).

68. French government officials declared late last year that they had nipped in the bud a plot to overthrow the republic concocted by (1 the Cross of Fire fascists, 2 Jacques Doriot's Popular Party, 3 Andre Tardieu, 4 a hooded band of monarchists, 5 Communists) .

69. Winner of the Nobel Peace Prize for 1937 was the president of the British League of Nations Union (1 Viscount Cecil of Chelwood, 2 the Earl of Bewdley, 3 Sir Thomas Inskip, 4 Walter Runciman, 5 Viscount Snowden of Ickornshaw).

70. Italy's conquest of Ethiopia was recently given de facto recognition by (1 the U. S., 2 France, 3 Russia, 4 the Irish Free State, 5 Canada).

71. The recent Russian elections differed from most elections in democratic nations in that (1 only property holders were permitted to vote, 2 only members of the Communist Party were given the vote, 3 very few Russians exercised their new right to vote, 4 in almost no case was there more than one nominee for the elective job, 5 rib names of candidates appeared on the ballots).

72. Britain was accused by leftists and liberals of deserting the cause of democracy in Spain when late in November she (1 lifted the embargo on shipments to Rebel Spain,

2 refused to grant further credits to the Loyalists, 3 exchanged commercial representatives with Rebel Spain, 4 withdrew from the Spanish non-intervention committee, 5 granted the Rebels belligerent rights).

Capital of Poland recently visited by France's Foreign Secretary is (1 Prague, 2 Vilna,

3 Warsaw, 4 Moscow, 5 Bucharest).

The "Open Door" as applied to China means that (1 all nations shall have equal tradings rights in China, 2 emigration to China from other nations may not be stopped, 3 Chinese may not be excluded from this country as they were under the exclusion act prior to the World War, 4 China must grant the great powers extraterritorial rights in her country, 5 the Chinese Government must keep trade routes open between the coast and the interior and protect foreign business concerns using those routes from bandit attacks).

75. China's Dictator Chiang Kai-shek resigned as Premier in favor of his brother-in-law (1 T. V. Soong, 2 Wu Pei-fu, 3 H. H. Kung, 4 Chang Hsueh-liang, 5 Eugene Chen).

TRANSPORT

76. A call for bids on Yankee Clippers--airplanes three times larger than any constructed in the United States--was issued by the Pan American Airways shortly after the return to the United States of its distinguished technical adviser (1 Roscoe Turner, 2 Charles A. Lindbergh, 3 Donald Douglas, 4 Fred D. Fagg, 5 Clarence Chamberlain).

77. Amelia Earhart Putnam and her copilot, Fred Noonan, who in the summer planned to encircle the globe by a southern route (1 were unable to take off from the San Francisco airport and therefore gave up their plans, 2 were lost in the Pacific, 3 completed their flight successfully, 4 did not have sufficient funds to complete the flight, 5 were stopped by George P. Putnam, the aviatrix's husband).

78. Railroads' demands that the Interstate Commerce Commission permit them to raise freight rates are based largely on the contention that an additional burden of $35,-000,000 a year was added to their operation expense this fall by (1 the corporate surplus tax, 2 wage increases, 3 increased steel costs, 4 safety measures to comply with State and Federal regulations, 5 grade crossing projects).

79. Chairman of the Maritime Commission, whose report on the U. S. Merchant Marine last fall scored both shipowners and sailors, was (1 Joseph P. Kennedy, 2 Eugene Vidal, 3 Royal S. Copeland, 4 Harold 5. Walker, 5 George E. T. Eyston).

80. The report of the Maritime Commission of the condition of the U. S. Merchant Marine advised shipping lines to (1 build a new luxury liner larger than the Queen Mary, 2. go into the business of transoceanic air transport instead of building superliners, 3 stand on their own feet and not demand Government subsidies, 4 hire only union men, 5 hire more Annapolis graduates as ship's officers).

BUSINESS & FINANCE

87. In the last quarter of 1937 when business in the United States experienced a recession, business conditions in European nations (1 experienced an even greater depression than American business, 2 revealed a new low of the depression since 1929, 3 abated to about the same extent as in the U. S., 4 revealed no sign of abatement or check of activity, 5 became worse in Great Britain but remained about the same as during the early part of the year in other countries).

88. To bolster the stock market, the Government (1 asked the big banks to buy stocks as they did in the 1929 crash, 2 reduced margin requirements, 3 offered to lend RFC funds to speculators, 4 called in several issues of Federal bonds, 5 urged insurance companies to invest more funds in stocks).

89. The automobile concern which was found guilty of violating the national labor relations act by the Labor Board was (1 Chrysler Motors, 2 General Motors, 3 Packard, 4 Ford Motor Co., 5 Studebaker).

90. The 40% decline in the price of stocks within three months beginning last August (1 brought the markets to the lowest point of all time, 2 was about the same as the decline in 1929, 3 brought the market to the lowest point since 1929, 4 was comparable to the drop in 1921's was the swiftest decline of U. S. business and finance in thirty years).

91. The two industries most specifically criticized by the Federal Government at the close of 1937 for having hastened the recession by "pricing themselves out of the market" were (1 steel and building materials. 2 automobiles and textiles, 3 meat packing and coal, 4 building material and farm implement, 5 air conditioning and transportation).

92. Speakers at the annual session of the National Association of Manufacturers placed the blame for the current business recession upon (1 foreign wars, 2 high tariffs, 3 lack of raw materials for industry, 4 lack of available money for expansion of industry, 5 President Roosevelt and his New Deal policies).

93. The president of Commonwealth & Southern, big utility holding company, is willing to change the method of figuring power rates to conform with the President's insistence that utilities property valuations should be based on (1 cost of production, 2 cost of reproduction, 3 what was prudently and honestly invested, 4 estimates of tax experts, 5 the cost-plus plan).

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