3
practice testMultiple Choice

Practice Test

Question 3 • World History and Geography

What impact did the oil crises in 1973 and 1979 have on the economy of New Mexico?

Answer
A
The crises harmed energy production, leading to fewer job opportunities in oil and gas industries.
B
The crisis increased demand for goods and services, leading to higher employment.
C
The crises led to a decline in New Mexico's economy due to reduced energy production.
D
The crisis boosted energy company profits, created more jobs, and increased tax revenue.

Explanation

The oil crises reduced oil supplies and drove prices higher. Because New Mexico produced oil and gas, the higher prices boosted energy companies’ profits and encouraged more production, creating jobs and increasing tax revenue. Therefore, the best answer is “The crisis boosted energy company profits, created more jobs, and increased tax revenue.”

AI-written and checked against the verified answer.

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