This economy would be a rough example of a "controlled economy", since the government seems to be making it illegal for another other business to compete with this existing company.
"give me your tired, your poor, your haddled masses yearing to breathe free wretched refuse of your teeming shore. Send this, the homeless, tempest-tossed to me, I lift my lamp beside my golden door."
The best option from the list would be "confederate," since this type of government creates a "loose" bond between states with a relatively "weak" central government.
C. The Texans had numerical superiority.
