Front

In a traditional economy, the decision to make (or not make) certain products is decided MOSTLY by

Back

custom.

Front

Which statement describes one advantage of a market economy? Options: Nonproductive resources are rewarded. The government owns the productive resources. A high degree of individual freedom is offered. A large bureaucracy is required to make economic decisions.

Back

A high degree of individual freedom is offered.

Front

Communism and socialism are usually found in what type of economic system?

Back

command

Front

Which statement is a PRIMARY characteristic of a capitalist system? Options: graduated income tax, private ownership of property, equal distribution of resources, governmental regulation of business.

Back

private ownership of property.

Front

All of these are found in a command economy EXCEPT: minimum wage, environmental controls, government regulation of the economy.

Back

ownership of corporate stock.

Front

A tariff is a form of taxation on foreign products, while a quota is a ___ on imports from foreign countries.

Back

limit

Front

What is the primary purpose of job specialization?

Back

increased efficiency and productivity

Front

Imposing some sort of cost on trade that raises the price of the traded products is MOST LIKELY an example of

Back

a trade barrier.

Front

Why is a system of currency exchange necessary for international trade?

Back

There must be a way to pay for goods purchased from countries with different types of currencies due to Nationalism.

Front

A tariff is a tax on ___.

Back

imports