Economics Unit 2 Test

Which of the following is NOT one of the four types of economic systems?

• Mixed Economy
• Command Economy
• Traditional Economy
• Global Economy

True or False: Adam Smith and Karl Marx agreed when it came to what economic system is best.

• True
• False

What is the term for the way a society uses scarce resources to satisfy its people’s unlimited wants?

• Competition
• Economic System
• Consumer Sovereignty
• Capitalism

Government officials deciding the distribution of all resources is a feature of the ________ economic system.

• Traditional
• Market
• Command
• Mixed

In a _________ economy, the real power in a market place is held by the consumer.

• Traditional
• Market
• Command
• Mixed

In a __________ economy, survival is the ultimate goal.

• Traditional
• Market
• Command
• Mixed

Which of the following is NOT one of the disadvantages of a traditional economy?

• Restrict people to certain jobs
• Little to no economic or individual freedoms
• Resist change
• Lower standard of living

What book did Karl Marx write with Frederick Engels in which he explains his ideas about economic systems?

• Common sense
• Communist and Socialism
• Communist Manifesto
• The Wealth of Nations

Karl Marx believed that all of history is a struggle between __________.

• Governments
• Individual Freedoms
• Economic Classes
• Money

True or False: North Korea is an example of a communist type country.

• True
• False