Questions 8-12 $ ~% j! b; m- Q9 S
l Read this letter to the editor of The Economist.
; Z+ s4 o0 [5 S. l# O! ol Choose the best sentence from the list A-I to fill each of the blanks.
# F! h8 _* A% O6 @' W& ^l For each bland (8-12) mark one letter (A-I) on your Answer Sheet.
0 \, d; V- B5 f+ b! e( }% Ml Do not mar4 any letter twice.
9 u# h( g, n" ]* O( ql One answer has been given as an example.
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Sir,
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: U" T" x& {( O9 eYou state on February 13 th that New Mexico has “few natural resources”, ____ example____ In 1991 New Mexico ranked fourth in the United States in production of natural gas, seventh in oil and tenth in non-fuel minerals ____8____ Non-fuel minerals contributed about $ 1 billion and coal $ 509 million.
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Taxes from production of fuels and minerals, and lease payments on state lands have been set aside by legislative acts to endow two permanent funds worth about $ 5.65 billion, ____9____ In addition, during fiscal year 1991 , payments to New Mexico from taxes on federal lands were S 108 million, all earmarked for public education. / r$ z. \+ M& W0 u, p8 ? B
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____10____ About $566 million came from taxes and permanent-fund earnings attributable to oil and gas production. ____11____ Tourism is an important industry in Mew Mexico, yet its economic impact on the public sector is dwarfed by that of mineral production.
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8 T6 \' h8 j. W5 A+ u& ]New Mexico came through the recent recession in much better shape than most other states. It does not have a deficit. ____12____ States that rely primarily on a sales tax or on an income tax have big problems during economic downturns. Income growth per head in New Mexico averaged 6.1/00 in the year to October 1992-one if the fastest growth rates in the United States.
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& i8 F% s6 w% Y: j2 R3 q* NCharles Chapin 9 }7 P# i2 B7 \
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Example: C ' @ Q0 p- S) i0 Y3 f9 v: H
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A. That it has a broadly based tax structure is an important point.
0 m* i5 f3 o- J8 TB. In 1992 it produced more oil than Colorado and Kansas combined. 5 e, `5 C+ |3 F2 F. h3 F
C. However, the extractive mineral industry in New Mexico is one of the state’s strongest economic forces.
z4 g; r9 S: h1 S9 [D. During fiscal year 1992 New Mexico raised permanent funds worth about $6.1 billion.
. i- H3 t( z+ c7 N: n8 oE. The combined value of oil and gas production was $ 2.8 billion. |