Factors of Production and Economic Systems

What is scarcity in economic terms?

• The conflict between unlimited wants and limited resources

• The abundance of resources

• The surplus of goods and services

• The balance between supply and demand

Which of the following is NOT considered a factor of production?

• Land

• Labor

• Money

• Entrepreneurship

In a command economy, who controls the economy?

• The government

• Private individuals

• Corporations

• Non-profit organizations

What type of economy relies on customs such as hunting and fishing?

• Traditional economy

• Market economy

• Command economy

• Mixed economy

In a capitalist economy, who owns the factors of production?

• Individuals and businesses

• The government

• Non-profit organizations

• International corporations

Almost every modern country today has a (a)   economic system

• mixed
• Market
• Command
• Traditional