Chapter 2 Vocabulary Quiz

Moana's village would be an example of a ___________ economy.

• Traditional

• Planned/command

• Mixed

• Free-market

A Business...

• An establishment or enterprise that supplies goods and services in exchange for payment.

• A place where people can get free money.

• A government.

Capitalism...

• The government owns everything.

• An economic system in which most economic resources are privately owned and decisions are made by the free exchange in the marketplace.

• People have no rights.

Custom-based economy...

• The desire to work hard and be creative to earn a higher profit.

• A nation’s plan for answering the key economic questions.

• An economy in which goods are produced the way they have always been produced.

Command Economy...

• Any place where buyers and sellers exchange goods and services for some form of money.

• An economic system in which all of the resources are owned and controlled by the government.

• The desire to work hard and be creative to earn a higher profit.

Economic system...

• A nation’s plan for answering the key economic questions.

• The right to own, use, and dispose of things of value.

• Any place where buyers and sellers exchange goods and services for some form of money.

Market economy...

• Money left from sales after subtracting the cost of operating the business.

• An economy in which individuals are free to exchange goods and services with buyers and sellers that are willing.

• The right to own, use, and dispose of things of value.

Marketplace...

• An establishment or enterprise that supplies goods and services in exchange for payment.

• Any place where buyers and sellers exchange goods and services for some form of money.

• An economy in which goods are produced the way they have always been produced.

Private enterprise...

• Money left from sales after subtracting the cost of operating the business.

• An economy in which goods are produced the way they have always been produced.

• The right of the individual to choose whether to own a business, what business to enter, and what to produce with only limited government direction.

Private property...

• The right to own, use, and dispose of things of value.

• Any place where buyers and sellers exchange goods and services for some form of money.

• The desire to work hard and be creative to earn a higher profit.