U2 Economic Systems, Market Structures, Business Org. & Gov't

In which economic system is the protection of private property rights essential?

• Command

• Traditional

• Market

• Socialism

In which economic system does the government answer all three of the big economic questions? (What to produce? How to produce? For whom to produce?)

• Command

• Socialism

• Market

• Traditional

Which of the following best explains a mixed economy?

• Private ownership of the factors of production and regulation of businesses by government

• Market exchanges answer all three of the big economic questions

• Family customs and traditions determine what and how to produce a good

• Government answers all three of the big economic questions

_____________ are a positive incentive for entrepreneurs to start a business despite the risks.

• Pride

• Wealth

• Profits

• Being an employer

In a __________________ economy, families, clans, or tribes make economic decisions based on generational customs and beliefs.

• Mixed

• Market

• Traditional

• Command

Place where buyers and sellers meet to exchange goods and services for money

• Market
• Factor of production
• Money
• Interdependent

What are two things that are supported in market economies?

• public ownership and government regulation

• equal income and sharing of resources

• relationship between the buyer and seller with supply and demand

• protection of property rights and freedom for people

Which ideas are supported by a command economy?

• rights of people and property rights

• relationship between the buyer and seller in determining prices

• equal income and equal division of resources

• public ownership of property and businesses and government regulation

What is is defined as a level of performance that uses the lowest amount of inputs to create the greatest amount of outputs?

• productivity

• efficiency

• resources

• working

Which type of economy involves privately owned businesses that compete with other businesses?

• traditional

• command

• market

• mixed