To make this easier, the authorities eased credit terms and established a bad debt compensation fund in 2004. Two years later, the outcome (71%) 33. A.cannot yet be assessed B.has met government expectations. C.is still far from satisfactory D.is finally ready for evaluation. … “In spite of this, there are still many poor students…” XA,D because we know the result. The result is bad. C=Correct
Politicians made the changes two years ago (72%) 34. A. as a way to win the public’s support B. to make student loans more affordable C. by reducing spending in other areas D. with the help of major bank “… and to encourage commercial banks to grant more credit to students” X C,D: We know we are talking about a purpose. The purpose is most likely financial. B=Correct
In spite of this, there are still many poor students waiting for financial aid (75%) 35. A.because students have no influence in society. B.due to government policy C.while the government does nothing D.even though the number of loans granted has risen. A: No related B: In spite of, not due to government policy C: We have just read that they have done something. D: A rising number of loans doesn’t mean that all students have been granted loans. D=Correct
Owing to inadequacies in the system (72%) 36. A.it is hard to keep track of college graduates. B.the banks need to develop a new credit system. C.many students drop out of school. D.education is too expensive for many young people. “Some student borrowers stop paying back their loans and disappear after they graduate.” They are disappearing because they can’t keep track of them. A=Correct
However, these problems actually originate from the design of the scheme itself. First of all, there is (82%) 37. A.student union B.no mechanism C.little public support D.too much pressure on students “ to ensure that those who do not pay back their loans are unable to obtain credit in the future.” A: it’s not the responsibility a student union. B: there is no system/mechanism to ensure that this doesn’t happen. C: It’s not logical for the public to object to this. D: ???? B=Correct
Under the current student loans scheme, the banks (60%) 38. A.are less willing to hire graduates. B.will go out of business. C.have no guarantee of repayment. D.do not make any money. “… Commercial banks are profit-driven; they have every right to avoid financing plans that go against …” The previous paragraph said that “there is no mechanism to ensure those who do not pay back their loans are unable to obtain credit in the future.” The reference to banks being profit-driven indicates that the answer is either C or D. The previous paragraph tells us why the current loan scheme affects profits. C=Correct
Commercial banks are profit-driven, they have every right to avoid financing plans that go against (51%) 39. A.their legal obligations. B.their moral standards. C.their business interests. D.their financial losses. The reference to profits indicates that the answer is either C or D. Go against … C=Correct
The main weakness of the scheme is the rigid time frame for paying back the loans: a maximum of three years. No flexibility is allowed in terms of (77%) 40. A.repayment schedule. B.the method of payment. C.cancelling the repayment. D.repaying the loan early. If the time frame for paying back the loans is rigid, there is no flexibility in terms of … A=correct
There will be no solution to the problem of graduate debt (66%) 41. A.until a new government is elected B.until tuition fees are made more affordable C.while the banks maintain their current attitude D.as it is too widespread “…and more jobs become available for graduates.” “A” wouldn’t necessarily solve the problem. Not “C” because the use of “while” implies that more jobs would NOT solve the problem. D? Lower tuition fees would help solve the debt problem. B=Correct
This situation requires strong government intervention, which could include the allocation of more financial (72%) 42. A.incentives B.analysis C.stimulation D.subsidies “…for students.” “B” and “C” don’t make sense. D=Correct
Another possibility would be for the government to set aside more funds to compensate for losses incurred by banks (84%) 43. A.within six months. B.if students fail to repay loans. C.for those students with top marks. D.in order to boost the economy. We already know that banks incur losses because many students don’t pay back their loans. B=Correct.
A more flexible system should be introduced allowing loans to be repaid over a longer period of time. The authorities should (36%) 44. A.be tougher on students who cheat the system B.be more lenient with poor students C.lower college tuition fees D.create a new student loan scheme while also showing understanding to those in genuine financial difficulties. The use of “while” tells us that 2 ideas are being contrasted. The 2nd idea is understanding for students with genuine financial difficulties. A=Correct
Access to higher education is not just a problem for the students concerned: it also affects (67%) 45. A.the long-term development of a nation. B.the long-term popularity of the government. C.the long-term profits for major banks. D.the long-term quality of education. “A” and “D” are the only two options related to “higher education”. “Access to education” and “quality of education” are different issues. The number of people who are well-educated will affect the development of a country. A=Correct.