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You should spend about 20 minutes on Questions 1-13 which are based on Reading Passage 1 below.

The Innovation of Grocery Stores


At the beginning of the 20th century, grocery stores in the United States were full-service. A customer would ask a clerk behind the counter for specific items and the clerk would package the items, which were limited to dry goods. If they want to save some time, they have to ask a delivery boy or by themselves to send the note of what they want to buy to the grocery store first and then go to pay for the goods later. These grocery stores usually carried only one brand of each good. There were early chain stores, such as the A&P Stores, but these were all entirely full-service and very time-consuming.



In 1885, a Virginia boy named Clarence Saunders began working part-time as a clerk in a grocery store when he was 14 years old, and quit school when the shopkeeper offered him full-time work with room and board. Later he worked in an Alabama coke plant and in a Tennessee sawmill before he returned to the grocery business. By 1900, when he was nineteen years old, he was earning $30 a month as a salesman for a wholesale grocer. During his years working in the grocery stores, he found that it was very inconvenient and inefficient for people to buy things because more than a century ago, long before there were computers, shopping was done quite differently than it is today. Entering a store, the customer would approach the counter (or wait for a clerk to become available) and place an order, either verbally or, as was often the case for boys running errands, in the form of a note or list. While the customer waited, the clerk would more behind the counter and throughout the store, select the items on the list – some form shelves so high that long-handled grasping device had to be used – and bring them back to the counter to be tallied and bagged or boxed. The process might be expedited by the customer calling or sending in the order beforehand, or by the order being handled by a delivery boy on a bike, but otherwise, it did not vary greatly. Saunders, a flamboyant and innovative man, noticed that this method resulted in wasted time and expense, so he came up with an unheard-of solution that would revolutionize the entire grocery industry: he developed a way for shoppers to serve themselves.


So in 1902, he moved to Memphis where he developed his concept to form a grocery wholesale cooperative and a full-service grocery store. For his new “cafeteria grocery”, Saunders divided his grocery into three distinct areas: 1) A front “lobby” forming an entrance and exit and checkouts at the front. 2) A sales department, which was specially designed to allow customers to roam the aisles and select their own groceries. Removing unnecessary clerks, creating elaborate aisle displays, and rearranging the store to force customers to view all of the merchandise and over the shelving and cabinets units of sales department were “galleries” where supervisors were allowed to keep an eye on the customers while not disturbing them. 3) And another section of his store is the room only allowed for the clerks which were called the “stockroom” or “storage room” where large refrigerators were situated to keep fresh products from being perishable. The new format allowed multiple customers to shop at the same time and led to the previously unknown phenomenon of impulse shopping. Though this format of grocery market was drastically different from its competitors, the style became the standard for the modern grocery store and later supermarket.


On September 6, 1916, Saunders launched the self-service revolution in the USA by opening the first self-service Piggly Wiggly store, at 79 Jefferson Street in Memphis, Tennessee, with its characteristic turnstile at the entrance. Customers paid cash and selected their own goods from the shelves. It was unlike any other grocery store of that time. Inside a Piggly Wiggly, shoppers were not at the mercy of shop clerks. They were free to roam the store, check out the merchandise and get what they needed with their own two hands and feet. Prices on items at Piggly Wiggly were clearly marked. No one pressured customers to buy milk or pickles. And the biggest benefit at the Piggly Wiggly was that shoppers saved money. Self-service was positive all around. “It’s good for both the consumer and retailer because it cuts costs,” noted George T. Haley, a professor at the University of New Haven and director of the Center for International Industry Competitiveness. “If you looked at the way grocery stores were run previous to Piggly Wiggly and Alpha Beta, what you find is that there was a tremendous amount of labor involved, and labor is a major expense.” Piggly Wiggly cut the fat.


Piggly Wiggly and the self-service concept took off. Saunders opened nine stores in the Memphis area within the first year of business. Consumers embraced the efficiency, the simplicity and most of all the lower food prices. Saunders soon patented his self-service concept and began franchising Piggly Wiggly stores. Thanks to the benefits of self-service and franchising, Piggly Wiggly ballooned to nearly 1,300 stores by 1923. Piggly Wiggle sold $100 million – worth $1.3 billion today – in groceries, making it the third-biggest grocery retailer in the nation. The company’s stock was even listed on the New York Stock Exchange, doubling from late 1922 to march 1923. Saunders had his hands all over Piggly Wiggly. He was instrumental in the design and layout of his stores. He even invented the turnstile.


However, Saunders was forced into bankruptcy in 1923 after a dramatic spat which the New York Stock Exchange and he went on to create the “Clarence Saunders sole-owner-of-my-name” chain, which went into bankruptcy.


Until the time of his death in October 1953, Saunders was developing plans for another automatic store system called the Foodelectric. But the store, which was to be located two blocks from the first Piggly Wiggly store, never opened. But his name was well-remembered along with the name Piggly Wiggly.





Questions 1-5

The Reading Passage has seven paragraphs A-G.

Which paragraph contains the following information?

Write the correct letter A-G, in boxes 1-5 on your answer sheet.

NB  You may use any letter more than once.


1   How Clarence Saunders’ new idea had been carried out.

2   Introducing the modes and patterns of groceries before his age.

3   Clarence Saunders declared bankruptcy a few years later.

4   Descriptions of Clarence Saunders’ new conception.

  The booming development of his business.



Questions 6-10

Answer the questions below.

Write ONLY ONE WORD AND/OR A NUMBER from the passage for each answer.


6   When Clarence Saunders was an adolescent, he took a job as a ………………………. In a grocery store.

7   In the new innovation of the grocery store, most of the clerks’ work before was done by……………………..

8   In Saunders’ new grocery store, the section where customers finish the payment was called……………………..

9   Another area in his store which behind the public area was called the …………………………. Where only internal staff could access.

10   At …………………….. where customers were under surveillance.


Questions 11-13

Choose the correct letter, ABC or D.

Write your answers in boxes 11-13 on your answer sheet.


11   Why did Clarence Saunders want to propel the innovation of grocery stores at his age?

A   Because he was an enthusiastic and creative man.

B   Because his boss wanted to reform the grocery industry.

C   Because he wanted to develop its efficiency and make a great profit as well.

D   Because he worried about the future competition from the industry.


12   What happened to Clarence Saunders’ first store of Piggly Wiggly?

A   Customers complained about its impracticality and inconvenience.

B   It enjoyed a great business and was updated in the first twelve months.

C   It expanded to more than a thousand franchised stores during the first year.

D   Saunders was required to have his new idea patented and open stores.


13   What left to Clarence Saunders after his death in 1953?

A   A fully automatic store system opened soon near his first store.

B   The name of his store the Piggly Wiggly was very popular at that time.

C   His name was usually connected with his famous shop the Piggly Wiggly in the following several years.

D   His name was painted together with the name of his famous store.




You should spend about 20 minutes on Questions 14-26 which are based on Reading Passage 2 below. 

Flight from reality?

Mobiles are barred, but passengers can lap away on their laptops to their hearts’ content. Is one really safer than the other? In the US, a Congressional subcommittee grilled airline representatives and regulators about the issue last month. But the committee heard that using cellphones in planes may indeed pose a risk albeit a slight one. This would seem to vindicate the treatment of Manchester oil worker Neil Whitehouse, who was sentenced last summer to a year in jail by a British court for refusing to turn off his mobile phone on a flight home from Madrid. Although he was only typing a message to be sent on landing not actually making a call, the court decided that hems putting the flight at risk.


The potential for problems is certainly there. Modern airliners are packed with electronic devices that control the plane and handle navigation and communications. Each has to meet stringent safeguards to make sure it doesn’t emit radiation that would interfere with other devices in the plane-standards that passengers’ personal electronic devices don’t necessarily meet. Emissions from inside the plane could also interfere with sensitive antennae on the fixed exterior.


But despite running a number of studies, Boeing, Airbus and various government agencies haven’t been able to find clear evidence of problems caused by personal electronic devices, including mobile phones. “We’ve done our own studies. We’ve found cellphones actually have no impact on the navigation system,” says Maryanne Greczyn, a spokeswoman for Airbus Industries of North America in Herndon, Virginia, Not do they affect other critical systems, she says The only impact Airbus found? “Sometimes when a passenger is starting or finishing a phone call, the pilot hears a wry slight beep in the headset,” she says.


The best evidence yet of a problem comes from a report released this year by Britain’s Civil Aviation Authority. Its researchers generated simulated cellphone transmissions inside two Boeing aircraft. They concluded that the transmissions could create signals at a power and frequency that would not affect the latest equipment, but exceeded the safety threshold established in 1984 and might, therefore, affect some of the older equipment on board. This doesn’t mean “mission critical” equipment such as the navigation system and flight controls. But the devices that could be affected, such as smoke detectors and fuel level indicators, could still create serious problems for the flight crew if they malfunction.


Many planes still use equipment certified to the older standards, says Dan Hawkes, head of avionics at the CAA’s Safely Regulation Croup. The CAA study doesn’t prove the equipment will actually fail when subjected to the signals but does show there’s a danger. “We’ve taken some of the uncertainty out of these beliefs,” he says Another study later this year will see if the cellphone signals actually cause devices to fail.


In 1996, RTCA, a consultant hired by the Federal Aviation Administration in the US to conduct tests, determined that potential problems from personal electronic devices were “low”. Nevertheless, it recommended a ban on their use during “critical” periods of flight, such as take-off and landing. RTCA didn’t actually test cellphones, but nevertheless recommended their wholesale ban on flights, But if “better safe than sorry” is the current policy, it’s applied inconsistently, according to Marshall Cross, the chairman of Mega Wave Corporation, based in Boylston, Massachusetts. Why are cellphones outlawed when no one considers a ban on laptops? “It’s like most things in life. The reason is a little bit technical, a little bit economic and a little bit political,” says Cross.


The company wrote a report for the FAA in 1998 saying it is possible to build an on-board system that can detect dangerous signals from electronic devices. But Cross’s personal conclusion is that mobile phones aren’t the real threat. “You’d have to stretch things pretty far to figure out how a cellphone could interfere with a plane’s systems,” he says. Cellphones transmit in ranges of around 400, 800 or 1800 megahertz. Since no important piece of aircraft equipment operates at those frequencies, the possibility of interference is very low, Cross says. The use of Computers and electronic game systems is much more worrying, lie says. They can generate very strong signals at frequencies that could interfere with plane electronics, especially if a mouse is attached {the wire operates as an antenna or if their built-in shielding is somehow damaged. Some airlines are even planning to put sockets for laptops in seatbacks.


There’s fairly convincing anecdotal evidence that some personal electronic devices have interfered with systems. Aircrew on one flight found that the autopilot was being disconnected, and narrowed the problem down to a passenger’s portable computer. They could actually watch the autopilot disconnect when they switched the computer on. Boeing bought the computer, took it to the airline’s labs and even tested it on an empty flight. But as with every other reported instance of interference, technicians were unable to replicate the problem.


Some engineers, however, such as Bruce Donham of Boeing, say that common sense suggests phones are more risky than laptops. “A device capable of producing a strong emission is not as safe as a device which does not have any intentional emission,” lie says. Nevertheless, many experts think it’s illogical that cellphones are prohibited when computers aren’t. Besides, the problem is more complicated than simply looking at power and frequency. In the air, the plane operates in a soup of electronic emissions, created by its own electronics and by ground-based radiation. Electronic devices in the cabin-especially those emitting a strong signal-can behave unpredictably, reinforcing other signals, for instance, or creating unforeseen harmonics that disrupt systems.


Despite the Congressional subcommittee hearings last month, no one seems to be working seriously on a technical solution that would allow passengers to use their phones. That’s mostly because no one -besides cellphone users themselves-stands to gain a lot if the phones are allowed in the air. Even the cellphone companies don’t want it. They are concerned that airborne signals could cause problems by flooding a number of the networks’ base stations at once with the same signal This effect, called bigfooting, happens because airborne cellphone signals tend to go to many base stations at once, unlike land calls which usually go to just one or two stations. In the US, even if FAA regulations didn’t prohibit cellphones in the air, Federal Communications Commission regulations would.


Possible solutions might be to enhance airliners’ electronic insulation or to fit detectors which warned flight staff when passenger devices were emitting dangerous signals. But Cross complains that neither the FAA, the airlines nor the manufacturers are showing much interest in developing these. So despite Congressional suspicions and the occasional irritated (or jailed) mobile user, the industry’s “better safe than sorry” policy on mobile phones seems likely to continue. In the absence of firm evidence that the international airline industry is engaged in a vast conspiracy to overcharge its customers, a delayed phone call seems a small price to pay for even the tiniest reduction in the chances of a Plane Crash. But you’ll still be allowed to use your personal computer during a flight. And while that remains the case, airlines can hardly claim that logic has prevailed.



Questions 14-17

Complete the following summary of the paragraphs of Reading Passage.

Using NO MORE THAN THREE WORDS from the Reading Passage for each answer.

Write your answers in boxes 14-17 on your answer sheet.


The would-be risk surely exists, since the avionic systems on modern aircraft are used to manage flight and deal with 14……………………… Those devices are designed to meet the safety criteria which should be free from interrupting 15………………………. or interior emission. The personal use of a mobile phone may cause the sophisticated 16………………………. outside of the plane to dysfunction. Though definite interference in piloting devices has not been scientifically testified, the devices such as those which detect 17………………………. or indicate fuel load could be affected.



Questions 18-22

Use the information in the passage to match the Organization (listed A-E) with opinions or deeds below.

Write the appropriate letters A-E in boxes 18-22 on your answer sheet.

A     British Civil Aviation Authority

B      Maryanne Greczyn

C      RTCA

D     Marshall Cross

E      Boeing company


18   Mobile usages should be forbidden in specific fame.

19   Computers are more dangerous than cell phones.

20   Finding that the mobile phones pose little risk on flight’s navigation devices.

21   The disruption of laptops is not as dangerous as cellphones.

22   The mobile signal may have an impact on earlier devices.



Questions 23-26

Do the following statements agree with the information given in Reading Passage 2?

In boxes 23-26 on your answer sheet, write

TRUE               if the statement is true

FALSE              if the statement is false

NOT GIVEN    if the information is not given in the passage


23   Almost all scientists accept that cellphones have higher emission than that of personal computers.

24   Some people believe that radio emission will interrupt the equipment on the plane.

25   The signal interference-detecting device has not yet been developed because they are in priority for neither administrative department nor offer an economic incentive.

26   FAA initialed open debate with Federal Communications Commission.



You should spend about 20 minutes on Questions 27-40 which are based on Reading Passage 3 below.


Sunset for the Oil Business

The world is about to run out of oil. Or perhaps not. It depends whom you believe…


Members of the Department Analysis Centre (ODAC) recently met in London and presented technical data that support their grim forecast that the world is perilously close to running out of oil. Leading lights of this moment, including the geologists Colin Campbell, rejected rival views presented by American geological survey and the international energy agency that contradicted their findings. Dr Campbell even decried the amazing display of ignorance, denial and obfuscation by government, industry and academics on this topic.


So is the oil really running out? The answer is easy: Yes. Nobody seriously disputes the notion that oil is, for all practical purposes, a non-renewable resource that will run out someday, be that years or decades away. The harder question is determining when precisely oil will begin to get scarce. And answering that question involves scaling Hubbert’s peak.


M. King Hubbert, a Shell geologist of legendary status among depletion experts, forecast in 1956 that oil production in the United States would peak in the early 1970s and then slowly decline, in something resembling a bell-shaped curve. At the time, his forecast was controversial, and many rubbished it. After 1970, however, empirical evidence proved him correct: oil production in America did indeed peak and has been in decline ever since.


Dr Hubbert’s analysis drew on the observation that oil production in a new area typically rises quickly at first, as the easiest and cheapest reserves are tapped. Over time, reservoirs age and go into decline, and so lifting oil becomes more expensive. Oil from that area then becomes less competitive in relation to other fuels, or to oil from other areas. As a result, production slows down and usually tapers off and declines. That, he argued, made for a bell-shaped curve.


His successful prediction has emboldened a new generation of geologists to apply his methodology on a global scale. Chief among them are the experts at ODAC, who worry that the global peak in production will come in the next decade. Dr Campbell used to argue that the peak should have come already; he now thinks it is just around the corner. A heavyweight has now joined this gloomy chorus. Kenneth Deffeyes of Princeton University argues in a lively new book (“The View from Hubbert’s Peak”) that global oil production could peak as soon as 2004.


That sharply contradicts mainstream thinking. America’s Geological Survey prepared an exhaustive study of oil depletion last year (in part to rebut Dr Campbell’s arguments) that put the peak of production some decades off. The IEA has just weighed in with its new “World Energy Outlook”, which foresees enough oil to comfortably meet the demand to 2020 from remaining reserves. René Dahan, one of ExxonMobil’s top managers, goes further: with an assurance characteristic of the world’s largest energy company, he insists that the world will be awash in oil for another 70 years.


Who is right? In making sense of these wildly opposing views, it is useful to look back at the pitiful history of oil forecasting. Doomsters have been predicting dry wells since the 1970s, but so far the oil is still gushing. Nearly all the predictions for 2000 made after the 1970s oil shocks were far too pessimistic. America’s Department of Energy thought that oil would reach $150 a barrel (at 2000 prices); even Exxon predicted a price of $100.


Michael Lynch of DRI-WEFA, an economic consultancy, is one of the few oil forecasters who has got things generally right. In a new paper, Dr Lynch analyses those historical forecasts. He finds evidence of both bias and recurring errors, which suggests that methodological mistakes (rather than just poor data) were the problem. In particular, he faults forecasters who used Hubbert-style analysis for relying on fixed estimates of how much “ultimately recoverable” oil there really is below ground, in the industry’s jargon: that figure, he insists, is actually a dynamic one, as improvements in infrastructure, knowledge and technology raise the amount of oil which is recoverable.


That points to what will probably determine whether the pessimists or the optimists are right: technological innovation. The first camp tends to be dismissive of claims of forthcoming technological revolutions in such areas as deep-water drilling and enhanced recovery. Dr Deffeyes captures this end-of-technology mindset well. He argues that because the industry has already spent billions on technology development, it makes it difficult to ask today for new technology, as most of the wheels have already been invented.


Yet techno-optimists argue that the technological revolution in oil has only just begun. Average recovery rates (how much of the known oil in a reservoir can actually be brought to the surface) are still only around 30-35%. Industry optimists believe that new techniques on the drawing board today could lift that figure to 50-60% within a decade.


Given the industry’s astonishing track record of innovation, it may be foolish to bet against it. That is the result of adversity: the nationalisations of the 1970s forced Big Oil to develop reserves in expensive, inaccessible places such as the North Sea and Alaska, undermining Dr Hubbert’s assumption that cheap reserves are developed first. The resulting upstream investments have driven down the cost of finding and developing wells over the last two decades from over $20 a barrel to around $6 a barrel. The cost of producing oil has fallen by half, to under $4 a barrel.


Such miracles will not come cheap, however, since much of the world’s oil is now produced in ageing fields that are rapidly declining. The IEA concludes that global oil production need not peak in the next two decades if the necessary investments are made. So how much is necessary? If oil companies are to replace the output lost at those ageing fields and meet the world’s ever-rising demand for oil, the agency reckons they must invest $1 trillion in non-OPEC countries over the next decade alone. That’s quite a figure.



Questions 27-31

Do the following statements agree with the claims of the writer in Reading Passage 3?

In boxes 27-31 on your answer sheet, write

YES                  if the statement agrees with the information

NO                   if the statement contradicts the information

NOT GIVEN    if there is no information on this


27   Hubbert has a high-profile reputation amongst ODAC members.

28   Oil is likely to last longer than some other energy sources.

29   The majority of geologists believe that oil with start to run out sometime this decade.

30   Over 50 percent of the oil we know about is currently being recovered.

31   History has shown that some of Hubbert’s principles were mistaken.



Questions 32-35

Complete the notes below

Choose ONE WORD ONLY from the passage for each answer.

Write your answers in boxes 32-35 on your answer sheet.


Many people believed Hubbert’s theory was 32………………….. when it was originally presented.

(1) When an oilfield is 33………………….., it is easy to…

(2) The recovery of the oil gets more 34…………………… as the reservoir gets older

(3) The oilfield can’t be as 35…………………as other areas.




Questions 36-40

Look at the following statements (questions 36-40) and the list of people below.

Match each statement with the correct person, A-E.

Write the correct letter, A-E in boxes 36-40 on your answer sheet.

NB  You may use any letter more than once.


36   has found fault in the geological research procedure

37   has provided the longest-range forecast regarding oil supply

38   has convinced others that oil production will follow a particular model

39   has accused fellow scientists of refusing to see the truth

40   has expressed doubt over whether improved methods of extracting oil are possible.

List of People

A     Colin Campell

B     M. King Hubbert

C     Kenneth Deffeyes

D     Rene Dahan

E     Michael Lynch