Unit 2: Economy

___________ is where people depend on supply, demand, and prices to determine the four economic questions.

Which of these questions is NOT apart of the four economic questions?

• How to produce

• How much to produce

• What to produce

• How much money to spend

Which of these characteristics are apart of the free enterprise economy? Select ALL that apply.

• economic freedom

• voluntary exchange

• private property

• profit motive

• government operated

The economy where government owns some factors of production and participates in answering the four economic questions is called a __________ economy.

• Free enterprise

• Socialist

• Communist

• Command

In a communist economy, the ________ are controlled by the government.

• factors of production

• private properties

• supply

• demand

The government owns and controls all resources and means of production of a ___________ economy.

• market

• socialist

• communist

• free enterprise

In a free enterprise economy, you possess four characteristics. Which is NOT a part of the four characteristics?

• economic freedom

• voluntary exchange

• profit motive

• private property

• All of them are the characteristics.

_______ are products that are tangible and can be held. The are purchased to satisfy needs and wants.

• goods

• consumers

• services

• production

__________ are intangible. These are provided by a person who exceeds at that service.

• Services

• Goods

• Marketing techs

• Supplies

The USA and Canada have a free enterprise (market) economy.

• true

• false