Multiple choice

The author uses the phrase 'when battling the pecuniary zombies' in order to:

Directions: Answer the given question based on the following passage:

The Obama administration has its hands full trying to tackle a host of internal and external problem, and though it is brilliantly failing, so far, to get a grip on the situation, they- the administration- would be getting more than a small amount of perverse pleasure from the way that the things have been panning out in Europe. America has been battling increasing fiscal deficit, an economy headed South, and ever increasing personal bankruptcies. The latest thorn in the side for the American federal government has come in the form of the ‘Occupy Wall Street’ protests- the movement that is protesting the concentration of 80 percent of the nation’s wealth in the hands of an elite one percent of population. However, a recent study found that, now, in the midst of a gripping recession, fewer than ever people were in support of the redistribution of wealth. Another movement, citing that, when compared to the 1960’s, the average American family is earning less in terms of purchasing power, in spite of many more families living on two incomes, is advocating an increase in the minimum wages of $7.25/ hour. The movement is gaining support from unexpected quarters including some senior government policy makers. Many professionals and entrepreneurs, who earn five figure monthly incomes, are coming out in favor of the movement. Many philanthropists like Warren Buffet are also very vocal in their support for the movement. The most resistance for the movement has come from people whose earnings are just above the minimum wages mark. They are dead against the movement, except in the scenario that their salaries also go up in proportion to the minimum wage earners.
 When battling the pecuniary zombies, the Americans can gain strength from their ‘get rich or die trying’ culture, which is in contrast to the more laidback approach in the other parts of the developed world. Greece, Portugal, and Spain have seen their economies slide down the drain in less than a decade. Now it is the turn of Italy to stare down the barrel of a loaded and cocked gun. The finger is whitening on the trigger but the Italian Prime Minister seems unconcerned. His bluster stems from the fact that Italians, unlike other Europeans, are hoarders, not spenders. In reply to what might have been some very uncomfortable questions for some, the Italian Prime Minister pooh-poohed suggestions that Italy, like Greece, is staring at disaster. He quoted the nation’s net saving ratio, which is the second highest in the continent (after Germany), and that while Italy's debt is clearly massive: €1.9tn euros, it’s only 120.5% of GDP compared with 162.8% for Greece. The Premier refused to be drawn into a debate on how Italy’s debt is higher than that of Spain or Portugal, the other two nations facing economic ruin, both of which have a debt ratio of around 100% of their respective GDPs.        

 

  1. contrast the approach of Americans and Europeans in tackling the economic mess that they are finding themselves in.

  2. highlight the Americans' innate nature to fight till the very last moment.

  3. refer to the national and personal fiscal planning blunders committed which are coming back from the dead to haunt them.

  4. point out how Americans and Europeans are traveling in the same leaky boat in the sea of fiscal imprudence.

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

(1) Incorrect. A zombie refers to a person who has dies but has risen from the dead. Here, the reference is to fiscal imprudence in general. The phrase does not contrast the American and European approach. (2) Incorrect. The phrase is intended to highlight the need to redress the mistakes committed in financial planning because the consequences of these mistakes don't just go away on their own. (3) Correct. A zombie refers to a person who has dies but has risen from the dead. The phrase is used to refer to the consequences of past fiscal misadventures that have come to haunt the perpetrators of the financial mistakes. (4) Incorrect. The phrase is aimed at stressing that financial mistakes do not go unpunished. They come back to haunt those who had committed them. (5) Incorrect. The phrase is intended to highlight the need to redress the mistakes committed in financial planning because the consequences of these mistakes don't just go away on their own.