Economic Systems and Daily life

What is the best definition of ownership?

• Ownership is the right to possess land or goods.

• Ownership is the right to possess land alone.

  
  

• Ownership is the right to purchase land or goods.

  
  

Private property is land or goods

• owned by the government.

  
  

• owned by an individual.

  
  

• used by state officials.

  
  

In a mixed market economy, property owned by the government

• can be used by many citizens.

  
  

• can cause economic inequality.

  
  

• can help promote personal wealth.

  
  

Ivan works for an automobile factory that exports cars around the world. The government manages the factory, and he lives in housing provided by the city. Ivan most likely lives in

• a closed economy with limited government regulation.

  
  

• a pure market economy with no government regulation.

  
  

• a command economy with heavy government regulation.

  
  

How does a high unemployment rate affect the economy?

• A high unemployment rate has little effect.

  
  

• A high unemployment rate has a very positive effect.

  
  

• A high unemployment rate has a very negative effect.

  
  

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A wealth gap is an economic difference between

• nations.

  
  

• economic classes.

  
  

• businesses.

  
  

When compared to a mixed-market economy, a command economy typically has

• more private ownership.

  
  

• more government control over production.

  
  

• strong consumer-buying power.

  
  

The difference in income between the richest and poorest citizens is called

• unemployment.

  
  

• private property.

  
  

• the wealth gap.

  
  

The most common economic system in the world is a

• closed economy.

  
  

• command economy.

  
  

• mixed market economy.

  
  

Gabriela owns a company that makes silk scarves. She buys the silk from an overseas supplier and is subject to a tax on imported goods. Gabriela most likely lives in

• a pure market economy with no government regulation.

  
  

• a command economy with heavy government regulation.

  
  

• a mixed market economy with some government regulation.