2.03 Economic Systems Test

Which of the following items is found in all economic systems?

• Technology

• Subsistence

• Participants

• Dollars

The most common medium of exchange in modern economic systems is

• barter

• credit

• capital

• money

One of the reasons that a country needs an economic system is because it

• is independent of other nations

• has a limited supply of resources

• has limited wants and needs

• has immigrants from several countries

Which of the following types of economic systems adopts the fewest new ideas or improvements?

• Command

• Market

• Socialist command

• Traditional

The government controls the economic system and does not allow private ownership of the means of production and distribution in a __________ economy.

• traditional

• socialist command

• market

• communist command

Government owns the basic means of production, but there is some private ownership of businesses under

• communism

• socialism

• capitalism

• entrepreneurship

Individuals and businesses own the means of production and distribution with limited government regulation in a __________ economy.

• market

• socialist

• traditional

• communist

An example of a country that has a socialist command economy is

• Japan

• China

• Sweden

• North Korea

Which of the following cultures has a traditional economic system?

• Amazon Rainforest communities

• Rural areas in Denmark

• Villages in the Rocky Mountains

• The Republic of Cuba

A country that currently has a communist command economic system is

• Japan

• North Korea

• Denmark

• India