Question

The New York bankers counted on -

• A. Current market values
• B. The number of sell orders
• C. Confidence
• D. Their reputation
• A. Inexperienced investors
• B. Phenomenal decrease
• C. Lack of confidence in stock market’s ability
• D. Panic amongst investors
• A. Negligible
• B. Minimum
• C. Maximal
• D. Significant

Answer 1

The Correct Option is D

Step 1 — Recall the relevant part of the passage:
The passage says: “Although the buy orders were minimal, they were counting on their reputations to restore confidence on the part of the smaller investors...”

Step 2 — Interpret the meaning:
The bankers did not actually invest huge sums; instead, they made symbolic purchases above market prices. Their real strategy was psychological — to reassure the public by showing that powerful bankers believed in the market’s strength.

Step 3 — Why reputation mattered:
At that time, the banking elite, especially names like J.P. Morgan, carried immense trust and authority in financial circles. Investors were expected to regain confidence seeing these figures backing the market.

Step 4 — Conclusion:
Thus, the bankers relied mainly on their reputation to stop the panic and restore investor confidence.

Final Answer:
The correct option is (D): Their reputation.

Answer 2

Step 1 — Recall the key detail from the passage:
The passage explains that in September 1929, prices began to fall and “for many inexperienced investors, the drop produced a panic. They had all their money tied up in the market, and they were pressed to sell before the prices fell even lower.”

Step 2 — Analyze the situation:
The initial decline in prices triggered fear among investors who lacked experience. Instead of waiting, they rushed to sell their shares quickly.
This sudden surge of sell orders overwhelmed the New York Stock Exchange ticker tape and drove prices down further.

Step 3 — Cause-and-effect relationship:
The downfall was not just due to falling prices but due to the panic selling that created a chain reaction. As more people sold, the market collapsed faster.

Step 4 — Conclusion:
Therefore, the main cause of the share market’s downfall was panic among investors, which accelerated the crash.

Final Answer:
The correct option is (D): Panic amongst investors.

Answer 3

Step 1 — Identify the word ‘minimal’ in the passage:
The passage says: “Although the buy orders were minimal, they were counting on their reputations to restore confidence...”
Here, ‘minimal’ means very small, meagre, or negligible.

Step 2 — Find the antonym in the context of the passage:
The opposite of ‘minimal’ would be something large, considerable, or important.
Among the given options, the correct antonym is ‘significant,’ which means substantial or important in amount/impact.

Step 3 — Conclusion:
Thus, the word in the passage that is the antonym of ‘minimal’ is ‘significant.’

Final Answer:
The correct option is (D): Significant.