Economic Systems: True or False Worksheet

In a command economy, decisions about what, how, and for whom to produce are determined by supply and demand.

• True

• False

A country’s economic system refers to the availability of productive resources to make goods and services.

• True

• False

In a traditional economy, their ways of living have been passed down from generation to generation for hundreds of years.

• True

• False

A command economic system gives consumers access to the most goods and services.

• True

• False

Competition is found in a market economy but not in a command economy.

• True

• False

Canada has a mixed economy that leans very close to a pure command economy.

• True

• False

The Inuit of northern Canada use bartering and other elements of a free market economy.

• True

• False

This is approximately where Canada falls on the economic continuum:

• True

• False

In Canada, the three economic questions of what, how, and for whom to produce are answered based on supply and demand of the market.

• True

• False

This statement represents a Market element in Canada’s economy: “Canadians pay higher taxes so that they can receive free healthcare through the government.”

• True

• False