Why Did the Soviet Union Collapse

question 51

Multiple Choice

Why did the Soviet Union collapse?

• A)The government tried to tax liquor, an act that sparked the Vodka Revolt of 1989.
• B)A Chinese invasion of Siberia led to a military coup.
• C)Its economy could not sustain the large defense budgets necessary to compete with the United States.
• D)It had too much internal ethnic diversity.

---

Definitions:

Spending

The act of using money to purchase goods or services.

Withdrawals

The act of taking money out from a bank account or investment.

Retirement Fund

A financial arrangement designed to replace employment income upon retirement, often consisting of contributions from employers, employees, or both.

Compounded Monthly

Involves calculating interest on the initial principal and the accumulated interest from previous months, applied monthly.