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1、1189Passage1(163)(Thispassagewaswrittenin1978.)RecentyearshavebroughtminityownedbusinessesintheUnitedStatesunprecedentedopptunities—aswellasnewsignificantrisks.Civilrightsactivistshavelongarguedthatoneoftheprincipalreaso
2、nswhyBlacksHispanicsotherminitygroupshavedifficultyestablishingthemselvesinbusinessisthattheylackaccesstothesizablederssubcontractsthataregeneratedbylargecompanies.NowCongressinapparentagreementhasrequiredbylawthatbusine
3、ssesawardedfederalcontractsofmethan$500000dotheirbesttofindminitysubcontractsrecdtheirefftstodosoonfmsfiledwiththegovernment.Indeedsomefederallocalagencieshavegonesofarastosetspecificpercentagegoalsfapptioningpartsofpubl
4、icwkscontractstominityenterprises.Cpateresponseappearstohavebeensubstantial.Accdingtofigurescollectedin1977thetotalofcpatecontractswithminitybusinessesrosefrom$77millionin1972to$1.1billionin1977.Theprojectedtotalofcpatec
5、ontractswithminitybusinessesftheearly1980’sisestimatedtobeover53billionperyearwithnoletupanticipatedinthenextdecade.Promisingasitisfminitybusinessesthisincreasedpatronageposesdangersfthemtoo.Firstminityfirmsriskexpingtoo
6、fastoverextendingthemselvesfinanciallysincemostaresmallconcernsunlikelargebusinessestheyoftenneedtomakesubstantialinvestmentsinnewplantsstaffequipmentthelikeindertoperfmwksubcontractedtothem.Ifthereaftertheirsubcontracts
7、arefsomereasonreducedsuchfirmscanfacepotentiallycripplingfixedexpenses.Thewldofcpatepurchasingcanbefrustratingfsmallentrepreneurswhogetrequestsfelabatefmalestimatesbids.Bothconsumevaluabletimeresourcesasmallcompany’sefft
8、smustsoonresultindersboththemalethefinancialhealthofthebusinesswillsuffer.AsecondriskisthatWhiteownedcompaniesmayseektocashinontheincreasingapptionmentsthroughfmationofjointventureswithminityownedconcerns.Ofcourseinmanyi
9、nstancestherearelegitimatereasonsfjointventuresclearlyWhiteminityenterprisescanteamuptoacquirebusinessthatneithercouldacquirealone.ButcivilrightsgroupsminitybusinessownershavecomplainedtoCongressaboutminitiesbeingsetupas
10、“fronts”withWhitebackingratherthanbeingacceptedasfullpartnersinlegitimatejointventures.Thirdaminityenterprisethatsecuresthebusinessofonelargecpatecustomeroftenrunsthedangerofbecoming—remaining—dependent.Eveninthebestofci
11、rcumstancesfiercecompetitionfromlargermeestablishedcompaniesmakesitdifficultfsmallconcernstobroadentheircustomerbases:whensuchfirmshavenearlyguaranteeddersfromasinglecpatebenefacttheymaytrulyhavetostruggleagainstcomplace
12、ncyarisingfromtheircurrentsuccess.1.Theprimarypurposeofthepassageisto(A)presentacommonplaceideaitsinaccuracies(B)describeasituationitspotentialdrawbacks(C)proposeatemparysolutiontoaproblem(D)analyzeafrequentsourceofdisag
13、reement(E)expletheimplicationsofafinding2.Thepassagesuppliesinfmationthatwouldanswerwhichofthefollowingquestions(A)Whatfederalagencieshavesetpercentagegoalsftheuseofminityownedbusinessesinpublicwkscontracts(B)Towhichgove
14、rnmentagenciesmustbusinessesawardedfederalcontractsrepttheirefftstofindminitysubcontracts3189(D)Theestimateofcpatespendingwithminityownedbusinessesin1980isapproximately$10milliontoohigh.(E)The$1.1billionrepresentedthesam
15、epercentageoftotalcpatespendingin1977asdid$77millionin1972.8.Theauthwouldmostlikelyagreewithwhichofthefollowingstatementsaboutcpateresponsetowkingwithminitysubcontracts(A)Annoyedbytheproliferationof“front”ganizationscpat
16、ionsarelikelytoreducetheirefftstowkwithminityownedsubcontractsinthenearfuture.(B)Althoughcpationsshowedconsiderableinterestinwkingwithminitybusinessesinthe1970’stheiraversiontogovernmentpaperwkmadethemreluctanttopursuema
17、nygovernmentcontracts.(C)Thesignificantresponseofcpationsinthe1970’sislikelytobesustainedconceivablybeincreasedthroughoutthe1980’s.(D)Althoughcpationsareeagertocooperatewithminityownedbusinessesashtageofcapitalinthe1970’
18、smadesubstantialresponseimpossible.(E)Theenmouscpateresponsehasallbuteliminatedthedangersofoverexpansionthatusedtoplaguesmallminityownedbusinesses.Passage2(263)WoodrowWilsonwasreferringtotheliberalideaoftheeconomicmarket
19、whenhesaidthatthefreeenterprisesystemisthemostefficienteconomicsystem.Maximumfreedommeansmaximumproductivenessour“openness”istobethemeasureofourstability.FinationwiththisidealhasmadeAmericansdefythe“OldWld”categiesofsett
20、ledpossessivenessversusunsettlingdeprivationthecupidityofretentionversusthecupidityofseizurea“statusquo”defendedattacked.TheUnitedStatesitwasbelievedhadnostatusquoante.Ouronly“station”wastheturningofastationarywheelspinn
21、ingfasterfaster.Wedidnotbaseoursystemonpropertybutopptunity—whichmeantwebaseditnotonstabilitybutonmobility.Themethingschangedthatisthemerapidlythewheelturnedthesteadierwewouldbe.Theconventionalpictureofclasspoliticsiscom
22、posedoftheHaveswhowantastabilitytokeepwhattheyhavetheHaveNotswhowantatouchofinstabilitychangeinwhichtoscramblefthethingstheyhavenot.ButAmericansimaginedaconditioninwhichspeculatsselfmakersrunnersarealwaysusingthenewopptu
23、nitiesgivenbyourl.Theseeconomicleaders(frontrunners)wouldthusbemainlyagentsofchange.Thenonstarterswereconsideredtheoneswhowantedstabilityastrongrefereetogivethemsomepositionintheracearegulativehtocalmmanicspeculationanau
24、thitythatcancallthingstoahaltbeginthingsagainfromcompensatilystaggered“startinglines.”“Refm”inAmericahasbeensterilebecauseitcanimaginenochangeexceptthroughtheextensionofthismetaphofaracewiderinclusionofcompetits“apieceof
25、theaction”asitwerefthedisenfranchised.Thereisnoattempttocallofftherace.SinceouronlystabilityischangeAmericaseemsnottohonthequietwkthatachievessocialinterdependencestability.Thereisinourlegendsnoheroismoftheofficeclerknos
26、tableindustrialwkfceofthepeoplewhoactuallymakethesystemwk.Thereisnoprideinbeinganemployee(Wilsonaskedfareturntothetimewheneveryonewasanemployer).Therehasbeennoboastingaboutoursocialwkers—theyaremerelysignsofthesystem’sfa
27、ilureofopptunitydeniednottakenofthingstobeeliminated.Wehavenoprideinourgrowinginterdependenceinthefactthatoursystemcanserveothersthatweareabletohelpthoseinneedemptyboastsfromthepastmakeusashamedofourpresentachievementsma
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