Nature of Economies

The term Economic Systems can best be defined as

• A system uses by society to allocate resources among it's people

• A system used by society to build resources

• A system used by society to gain resources

• A system used by society that locates it's people

The "Circular Flow Model"

• Shows how money is used to purchased goods and services

• Shows how money is allocated to the people in society

• Show how money has value

• Shows how much money is made in a society

In the "Circular Flow Model"

• Goods, Services and Money flow in the same direction

• Goods, services and Money flow in a similar direction

• Goods, and services flow in the opposite direction

• Goods, services and Money flow in the opposite direction

The word economics can best be defined as a

• The study of how society demands goods

• The study of how society allocates basic supplies

• The study of how society uses it's limited resources

• The study of how society make the best choice

What are the three basic questions all Economic Systems must answer?

• Who, when, why?

• What, how, why?

• How, when, where?

• Who, what, how to produce?

Which type of Economies answer the Economic Question

• Traditional Economies

• Market Economies

• Command and Mixed Economies

• All of the above

Traditional Economies combines aspect of Command and Market Economies

• True

• False

Command Economies has the most flexible Economic System

• True

• False

The economic questions are answered by unrestricted competition in a

• Traditional Economy

• Mixed Economy

• Market Economy

• Command Economy

The Mixed Economy combines aspects of both the Command and market Economy

• True

• False