Which situation is likely to occur in a market economy?

• The government owns all businesses.

• There are few obstacles to starting businesses.

• There are many obstacles to starting businesses.

• The government sets production quotas for goods.

Which situation is likely to occur in a pure command economy?

• There is free trade between businesses.

• There are strong private property protections.

• There are few obstacles to starting businesses.

• The government sets production quotas for goods.

Which is the BEST way to describe the economies of Kenya, Nigeria, and South Africa?

• They are pure command economies.

• They are pure market economies.

• They are traditional economies.

• They are mixed economies.

Which two elements do countries with mixed economies attempt to balance?

• business profits and consumer choice

• domestic trade and international trade

• efficient production and low investment

• government control and economic freedom

How are the economic systems of South Africa and Kenya similar?

• Privately owned business are prohibited.

• The government controls some major industries.

• All economic decisions are made by the government.

• These countries have not developed economically due to trade barriers.

Based on the information, what conclusion can be made about Kenya and Nigeria?

• Both countries are incorporating more market elements into their economies.

• Both countries are incorporating more command elements into their economies.

• Both countries are incorporating more government regulations into their economies.

• Both countries are incorporating more types of business opportunities into their economies.

Which statement best describes an African economy?

• South Africa has a traditional, custom-based economy with some market elements.

• Nigeria has a pure market economy in which private businesses have complete freedom.

• Nigeria has a pure command economy where the government makes all economic decisions.

• South Africa has a mixed, primarily market-leaning economy with some command elements.

Nigeria has a mixed, leans market economy. Which resource does the government of Nigeria keep under their control?

• oil reserves

• heavy industry

• cattle production

• commercial agriculture

All of these are characteristics of a ___ economy.

· Decision making based on supply and demand.

· Adjusts to changes in the market place.

· Producers and consumers have control of the economy.

• command

• market

• socialist

• traditional

Which of these is a correct description of one of the ways in which a command economy differs from a market economy?

• Market economies discourage free enterprise.

• In a market economy, the government sets prices.

• Command economies tend to have a higher per capita GDP.

• In a command economy, individuals have less economic freedom.