3rd Midterm

Adam Smith states that if everyone acts in their own self interest everyone will benefit from it. What did he call this concept?

• Command Economy

• the invisible hand

• equity

• competition

Not wasting scarce resources. For a national economy that entails two things: producing goods and services people want most, and allocation of resources in the production of goods and services, so that real costs of production are as low as possible.

• Economic Freedom

• Economic stability

• Economic Equity

• Economic Efficiency

Which of the following is NOT one of the 6 broad social and economic goals?

• Creativity

• Security

• Freedom

• Equity

Refers to consumers ability to decide how to spend or save their incomes, for workers to change jobs or join unions, and for people to establish new business or close old ones.

• Economic Freedom

• Economic Growth

• Economic Stability

• Economic Equity

Refers to increasing the production of goods and services over time.

• Economic Freedom

• Economic Growth

• Economic Stability

• Economic Equity

A headline reads: "High Tech Firms Begin Producing New Generation of Computers." What basic economic question is being addressed in this headline?

• for whom to produce
• how to produce
• when to produce
• what to produce

Which is a fundamental questions every society must answer?
SSEF1a

• What goods and services are to be produced?
• How are the goods and services to be produced?
• Who will get the goods and services that are produced?
• All of the above

There are four types of economic systems.  Most economies are _____. 
SSEF4a

• Traditional 
• Command 
• Market 
• Mixed

An economic system in which individuals and businesses make decisions about what to produce without government involvement.

• Market economy

• Mixed economy

• Communism

• Command economy

With which term is a command economic system MOST closely associated?

• Entrepreneurship

• Economic Freedom

• Perfect competition

• Governmental regulation