ECO Ch 3.1 Exit Ticket

Which of the following is not a characteristic of capitalism?

• Lack of Competition

• Voluntary Exchange

• Profit Motive

• Economic Freedom

Under free enterprise, resources are publicly owned.

• True

• False

Which of the following is a disadvantage of capitalism?

• A variety of goods are available for consumers

• The economy is able to adapt to change

• There is always a gap between the rich and poor

• There is competition between sellers

One major feature of capitalism is the lack of private property rights.

• True

• False

How does competition benefit a capitalist economy?

• Individual businesses are able to produce the products of their choosing

• It assures that unpopular products will not be produced

• Only the most efficient producers survive

• All of the above