SS7E1, SS7E4, SS7E7: Economic Systems

Front

An economic system is a way in which people decide to organize the production, distribution, and consumption of goods and services.

Back

true

Front

What, how, and for whom to produce are the basic economic questions that every society must answer.

Back

true

Front

Do all societies answer the three basic questions in the same way?

Back

false

Front

Most societies have some type of mixed economy.

Back

true

Front

In a market economy, only the government decides what goods are produced.

Back

False

Front

In a command economy, consumer purchasing decides what goods and services are produced.

Back

false

Front

In a command economy, the government decides how the goods will be produced and distributed.

Back

true

Front

In a market economy, decisions regarding production and consumption result from the interaction of consumers and producers.

Back

true

Front

In a traditional economy, custom and habit determine economic decisions.

Back

true

Front

In a mixed economy, both private and public sectors play a role in economic decision-making.

Back

true