Unit 3- Economies, Industry & Labor

Which of the following is an accurate description of scarcity?

• Unlimited wants and needs but limited resources

• The dependence of two or more people or things on each other

• Unlimited resources but limited wants and needs

• The process of building relationships between nation-states

Which of the following is an accurate list of the three traits of scarcity we discussed in class?

• Land, Labor, Capital

• Money, Natural Resources, Workers

• Valuable, More than One Use, Rare

• Time, Resources, Innovation

The four factors of production are...

• Traditional, Command, Market, Mixed

• Resources, Money, Time, Workers

• Government, Policy, Laws, Private Business

• Land, Labor, Capital, Entrepreneurship

Raw materials such as wood, soil, oil or coal are all examples of which factor of production?

• Market

• Land

• Capital

• Labor

The term in economics that refers to the money or tools necessary to turn raw materials into goods and services is...?

• Capital

• Labor

• Resources

• Power

What is an Economy?

• the study of how communities and nations manage their wealth and resources

• an increase in the amount of goods and services produced in a country over time.

• the amount of wealth and resources available to an individual person in a community.

• the system that a country or community uses to manage their resources, especially in terms of the Factors of Production

A traditional economy...

• relies on the government to make all economic decisions

• is controlled by the Invisible Hand, or consumer choices

• is based on culture and rituals, often uses bartering and trading

• has free market concepts, but still allows government involvement, usually through regulations

A command economy...

• relies on the government to make all economic decisions

• is controlled by the Invisible Hand, or consumer choices

• is based on culture and rituals, often uses bartering and trading

• has free market concepts, but still allows government involvement, usually through regulations

An economic system that centers trade around a bartering system and is best suited for small families, villages or tribes is called...?

• Traditional Economy

• Market Economy

• Command Economy

• Mixed Economy

An economic system where the government has the MOST involvement in trade and business ownership is called...?

• Traditional Economy

• Market Economy

• Command Economy

• Mixed Economy