Types of Economies

The U.S. has a -

• Command Economy

• Market Economy

• Mixed Economy

North Korea has a -

• Command Economy

• Market Economy

• Mixed Economy

True or False: In a market economy consumers can buy whatever they want.

• True

• False

Ture or False: In a command economy producers have the freedom to choose what they want to make and sell.

• True

• False

Which of the following is a true statement about mixed economies?

• In a mixed economy the government always tells consumers what they can buy

• In a mixed economy producers own the factors of production, which means they can always make and sell anything they want

• In a mixed economy jobs are limited to only those who have received a higher education

• In a mixed economy producers and consumers have freedom of choice, but the government sets rules to protect them

In Whoville citizens are allowed to open up their own businesses. As the business owners, people are allowed to choose what to make and sell, and at what price. Whoville is an example of a-

• Command Economy

• Market Economy

• Mixed Economy

In 1961 the U.S. government placed an embargo on Cuban imports. This means that businesses in the U.S. could not import (buy and bring in) resources from Cuba. When the U.S. created this law in 1961, they were more of a-

• Command Economy

• Market Economy

In 2015 President Obama made a plan to lift (end) the embargo on Cuba. Which means that he wanted U.S. producers and consumers to be free to import resources from Cuba. Obama's plan would have made the U.S. more similar to a -

• Command Economy

• Market Economy

In the country of Uruguay, the government allows consumers to decide which goods they want to purchase. Uruguay economy is most similar to a -

• Command Economy

• Market Economy

The U.S. is a mixed economy and citizens are allowed to start their own business, as long as they are not selling illegal products. Jessica decides to open a bakery. For her bakery she needs flour, a mixer, and a cashier. Which of the following is an accurate statement about Jessica's bakery?

• The flour Jessica uses = Capital Resource

• The mixer Jessica uses = Human Resource

• The cashier that Jessica hires = Human Resource

• Jessica doesn't use any factors of production