The Following Questions Are Based on the Excerpt Below

question 23

Multiple Choice

The following questions are based on the excerpt below.
"There is I think great danger that [the new United States government] will be [a failure] unless the tottering system shall be supported by arms...
What is the cause of this commotion [in Western Massachusetts]? [The farmers] just complained of commutation,of the weight of the public taxes,of the insupportable debt of the union,of the scarcity of money,and of the cruelty of suffering the private creditors to call for their just dues....The proportion of debtors run high in this State.Too many of them are against the government.The men of property,and the holders of the public securities are generally abettors of our present constitution."
Benjamin Lincoln,letter to George Washington,1786
-The political and economic ideas of the farmers described in this passage were most likely developed because of

• A) the farmers' successful experience with utopian societies.
• B) the farmer's good relations with the Native Americans.
• C) the cultural distinctiveness of the backcountry as compared to the urbanizing areas.
• D) the region's reliance upon the credit from Great Britain.

---

Definitions:

Contract Rate

This refers to the interest rate stated in a contract that determines the amount of interest owed on a loan or financial agreement.

Stated Rate

The interest rate expressed in the terms of a loan or investment agreement, not necessarily reflecting the actual yield.

Effective Rate

The effective rate is the actual interest rate on a loan or financial product, taking into account the compounding of interest, as opposed to the nominal rate.

Debenture Bond

A debenture bond is a type of unsecured loan that is backed only by the general creditworthiness and reputation of the issuer, not by any collateral.