Macro reperformance

When individuals work for businesses, what resource are they providing?

• Capital

• Labor

• Loans

• Raw materials

When individuals work for businesses, what do they get in return?

• Capital

• Labor

• Income

• Raw materials

In Circula Flow, Producers

• buy good from households

• sell goods and services to individuals

In a free market economy who owns the resources?

• state governments

• the federal government

• households

• local governments

The Circular Flow model proves that the sectors of the economy are...

• independent
• dependent
• interdependent
• round

In terms of resources, what do households provide for businesses?

• loans
• savings
• labor
• private goods

What three economic questions are asked when studying the similarities of traditional, command, market, and mixed economies among nations of the world?

• What to produce, why to produce, when to produce?

• What is your opportunity cost, what economic resources are needed, why should these resources be used?

• What is produced, how is it produced, and for whom is it produced?

• What is your opportunity cost, why are economic resources needed, when should these resources be used?

Which of the following would reflect a country with a mixed economy?

• Prices and wages are completely regulated by a country’s government.

• A combination of privately-owned industry and government control.

• A country’s distribution of resources is based on inheritance.

• Prices and wages are determined by the laws of supply and demand rather than being regulated by a country’s government.

Native Americans used to barter for goods. They did not use currency. Economic decisions were based on customs. What economic system would an indigenous group like the Native Americans most likely have?

• market economy

• free enterprise economy

• traditional economy

• command economy

Katia is an accountant in a government run business where she was placed after graduation.

• Command
• Traditional
• Free Market
• Mixed