Unit 8 Study Guide

What type of democracy does Canada have? USA?

• Canada has a parliamentary democracy, while the USA has a federal republic.

• Canada has a federal republic, while the USA has a parliamentary democracy.

• Both Canada and the USA have a parliamentary democracy.

• Both Canada and the USA have a federal republic.

What are the 3 basic economic questions every country must answer?

• What to produce, how to produce, and for whom to produce

• What to buy, how to sell, and where to invest

• How to save, where to spend, and when to borrow

• Who to tax, how to distribute, and what to import

Traditional, Command, and Market economies are types of:

• Economic systems

• Political systems

• Social structures

• Cultural practices

Draw an economic continuum with Canada at 7.

• Canada is at 7 on the economic continuum.

• Canada is at 5 on the economic continuum.

• Canada is at 3 on the economic continuum.

• Canada is at 9 on the economic continuum.

What is the only Command Economy we studied this year?

• The only Command Economy we studied this year is North Korea.

• The only Command Economy we studied this year is South Korea.

• The only Command Economy we studied this year is Japan.

• The only Command Economy we studied this year is China.

What is Human Capital?

• The skills, knowledge, and experience possessed by an individual or population, viewed in terms of their value or cost to an organization or country.

• A type of financial asset that can be traded on the stock market.

• A government policy aimed at controlling inflation.

• A measure of the physical resources available to a company.

What are Capital Goods?

• Goods used in the production of other goods

• Goods consumed by individuals

• Goods that are intangible

• Goods that are perishable

Investing in human capital and capital goods affects standard of living by:

• Increasing productivity and economic growth

• Decreasing productivity and economic growth

• Having no effect on productivity and economic growth

• Only affecting the wealthy

Every country in the world is a mixed economy because:

• they have both private and public sectors.

• they rely solely on government planning.

• they have no private enterprises.

• they are completely market-driven.

What is Entrepreneurship?

• The process of starting and operating a new business

• A type of investment strategy

• A government policy

• A marketing technique