Review Quiz: Economic Systems

What is an economic system?

• A type of government

• A way a country decides how to produce, distribute, and consume goods

• A country's laws

• A country's population

In a traditional economic system, how do people usually get what they need?

• By trading goods and services

• By using credit cards

• By relying on government aid

• By shopping online

Which of the following is an example of a command system?

• A candy shop setting its own prices

• Farmers deciding what crops to grow

• The government deciding how much rice to produce

• A family trading vegetables for fruit

What is the main feature of a market system?

• Government controls all businesses

• Individuals and businesses make economic decisions

• There is no use of money

• People only produce what they need to survive

Which country is known for having a strong market system?

• North Korea

• United States

• Cuba

• Jamaica

If you lived in a traditional system, which of these might you do?

• Use an app to order pizza

• Hunt for food and trade with your neighbors

• Shop at a supermarket

• Work in an office

In a mixed system, what might the government control?

• Candy shops

• Schools and hospitals

• Private businesses

• Online shopping websites

Which of the following is an informal sector activity?

• Running a bank

• Cutting grass for cash

• Managing a supermarket

• Owning a factory

Why is North Korea considered a command system?

• People own their own businesses

• The government controls most industries and farms

• Everyone trades goods directly

• It has no economy

What is a good example of a market system?

• A family growing their own food

• A government setting rice prices

• A bakery deciding what bread to sell and at what price

• Schools provided by the government