Government and the Economy

Front

What is the primary basis of the economic system in the United States?

Back

Market-based

Front

Which country is mentioned in the text as having the greatest government control over its economy?

Back

China

Front

How are decisions made in a market economy?

Back

By all the people in the economy

Front

How are decisions made in a command economy?

Back

By the central government

Front

What are externalities?

Back

Unintended side effects that have an influence on third parties

Front

How is GDP per capita calculated?

Back

Total GDP divided by the country's population

Front

Who makes major economic decisions in a command economy?

Back

Central government

Front

What is socialism?

Back

The belief that the means of production should be owned and controlled by the government.

Front

Who predicted a violent revolution in industrialized nations?

Back

Karl Marx

Front

According to Karl Marx, what are the two classes in industrialized nations?

Back

Bourgeoisie and Proletariat