Cloze Test 26

Directions (1-10): In the following passage there are blanks each of which has been numbered. These numbers are printed below the passage and against each, five words/phrases are suggested one of which fits the blank appropriately. Find out the appropriate word/phrase in each case:

In economics, the term recession generally describes the reduction of a country’s Gross Domestic Product (GDP) for at least two quarters. A recession is (1) by rising unemployment, increase in government borrowing, (2) of share and stock prices, and falling investment. All of these characteristics have effects on people. Some recessions have been anticipated by stock market declines. The real-estate market also usually (3) before a recession. However, real-estate declines can last much longer than recessions. During an economic decline, high-(4) stocks such as financial services, pharmaceuticals and tobacco (5) to hold up better. However, when the economy starts to recover growth, stocks tend to recover faster. There is significant disagreement about how health care and utilities tend to (6).

In 2008, an economic recession was suggested by several important indicators of economics downturn. These (7) high oil prices, which led to (8) high food prices due to dependence of food production on petroleum, as well as using food crop products such as ethanol and biodiesel as an (9) to petroleum; and global inflation; a substantial credit crisis leading to the drastic bankruptcy of large and well (10) investment banks as well as commercial banks in various, diverse nations around the world; increased unemployment; and signs of contemporaneous economic downturns in major economics of the world, a global recession.
1. (A) imagined        (B) depict         (C) shown         (D) visualized       (E) characterized
2. (A) increase         (B) variance     (C) more           (D) decrease        (E) abundance
3. (A) weakens        (B) initiates       (C) awakens     (D) strengthens    (E) volatile
4. (A) maintained     (B) yield           (C) heavy          (D) result              (E) payment
5. (A) are                 (B) want            (C) tend            (D) yearn              (E) made
6. (A) distribute       (B) recover        (C) wait             (D) increased        (E) fight
7. (A) meant           (B) show            (C) numbered    (D) included          (E) encompass
8. (A) fearful           (B) dangerous    (C) abnormally   (D) healthy           (E) nutritious
9. (A) alternative     (B) variant          (C) substitute     (D) element          (E) integral
10. (A) wealthy        (B) costly           (C) stand            (D) created          (E) established



1.e       2.d       3.a       4.b       5.c       6.b       7.d       8.c       9.a       10.e

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