3/7-Vocab Quiz #2 Review

Who developed laissez-faire economics as a en economic philosophy? 

• Adam Smith
• Karl Marx
• John Locke
• Louis XVI

laissez-faire

• opposed to government regulation of business

• government should control major industries

• government should be eliminated

• nations should avoid trade

Production determined by supply and demand.

• Capitalism
• Socialsim

The idea that government should not interfere with a country's economic system

• Mercantilism

• Laissez-faire capitalism

• market economy

• demand economy

An organization of workers dedicated to protecting members' interests and improving wages, hours and working conditions for all.

• Labor Union

• Workers Rights

• Worker Strikes

• Collective Bargaining

Why did labor unions first form?

• To protect the rights of business owners
• To protect the rights of workers
• To protect the rights of customers
• Allof the above

These organizations tried to improve working conditions for workers-

• Political Bosses

• Labor Unions

• Political Machines

• Farmers

Laissez-faire capitalism as attributed to Adam Smith called for

• heavy taxation of manufacturers

• strict government control of the economy

• minimal government involvement in the economy

• government investments in major industries

Which characteristic is associated with an economy based on the principles of laissez-faire?

• prices based on supply and demand

• production quotas established by the central government

• distribution of goods determined by the customs of a traditional society

• some goods exchanged for other goods of equal value

Adam Smith’s Wealth of Nations stressed the importance of

• tradition

• supply and demand

• large corporations

• government ownership