To change 'I think she drives madly and keeps having accidents' to Simple Past, use 'I thought she drove madly and kept having accidents.'
The correct alternative is:
In this case, the correct Simple Past tense of the phrase 'I think she drives madly and keeps having accidents' is 'I thought she drove madly and kept having accidents.' The verbs 'drove' and 'kept' are the correct forms in the Simple Past tense.
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