Economic Systems

A command economy is when the government is in control.

• True
• False

Which of the following is an economic system in which the government and people are used to decide how to use scarce resources?

• Market economy

• Command economy

• Traditional economy

• Mixed economy

This is the social & political commitment & freedom to start their own businesses & compete

• free enterprise system
• free response system
• free travel system
• freedom of choice

True or False: The government can't take your property without just compensation.

• True
• False

The driving force behind people going into business is

• profit margin
• profit motive
• opportunity cost
• taxes

The concept that people have the right and privilege to control their possessions as they wish.

• legal equality
• open opportunity
• private property
• profit incentive

The rivalry between sellers to get more customers by lowering costs & better goods/services

• voluntary exchange
• competition
• incentives
• legal equality

True/False:  Government safety nets are called welfare or aid to the poor.

• True
• False

What is the definition of socialism?

• The idea that the means of production, distribution and exchange should be owned and regulated by the community as a whole.

• The idea that all free men over the age of 21 of good standing should have the right to vote.

• The idea that women should have equal political, social and economic rights as men.

• The idea that a country’s trade and industry should be controlled by private owners for profit, rather than by the state.

Socialism was an alternative to what movement?

• Communism

• Nationalism

• Feminism

• Capitalism