Advantages of Captalism

Which type of economic system provides the most economic freedom and has historically provided high standards of living?

• Socialism

• Capitalism

• Totalitarian

• Communism

Which is an outcome of this type of economic system?

• A. Many people enjoy economic freedom and high standards of living.

• B. Living standards increase when a country falls behind in its use of technology.

• C. People are helped by the government, which provides many free public services.

• D. Government leaders take over all farms and industries to provide greater equality.

Which statement identifies an advantage of capitalism over government-controlled economic systems in raising standards of living?

• Profit helps to produce and develop new technologies.

• Central planners identify where economic needs are greatest.

• Government leaders punish critics who challenge economic policies.

• Workers have no reason to work hard since their jobs are guaranteed.

Which statement best describes a socialist economy?

• Private businesses provide all goods and services.

• Taxes are low, but government services are extremely limited.

• The government owns several basic industries and provides many services at no cost.

• Private property is abolished and all goods and services are provided to citizens by the government.

Below is a description of a country's economic system. The government of the country controls all means of production. There is no private ownership of property. Which economic system is being described?

• Socialism

• Capitalism

• Free market

• Communism

Below is a description of a country's economic system. The country has a strong focus on social welfare. The government directly owns and operates some key industries, like healthcare and education. These services are provided for all citizens and are paid for by higher taxes. Which economic system best describes the country?

• A. Socialism

• B. Capitalism

• C. Free market

• D. Communism

Below is a table describing two economic systems. 1. - Command economy - No private property - Historically lowest standard of living 2. - Free enterprise - Private property - Historically highest standard of living What titles would best complete the table?

• 1 - Communism 2 - Socialism

• 1 - Socialism 2 - Communism

• 1 - Communism 2 - Capitalism

• 1 - Capitalism 2 - Communism