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WorksheetsCommand Economy
Total questions: 10
Worksheet time: 5mins
What is a Command Economy?
CAPITALISTIC economy in which there is free competition and prices are determined by interaction of supply and demand
An economic system COMBINING private and public enterprise.
When production, investment, price, and income are determined centrally by a GOVERNMENT.
A system that relies on customs, history, and time-honored beliefs.
What countries have a Command Economy?
Iceland, Sweden, France, Australia
United States, Russia, Africa, Haiti
India, United Kingdom, Brazil
North Korea, Cuba, Soviet Union, China, Vietnam
What is one advantage of a Command Economy?
Individual freedom for everyone
Health and public services are available to everyone at little or no cost.
The government rarely interferes.
Able to adjust to change gradually
What is one disadvantage of a Command Economy?
Requires large bureaucracy, which consumes resources
Lower standard of living
Does not produce enough public goods
Workers and businesses face uncertainty as a result of competition and change.
A command economy is also known as a:
Free enterprise system
Consumer-driven economy
Prosperous economy
Planned economy
Command economies are usually dominated by:
Free enterprise
Traditions, customs, and beliefs
State-owned enterprise
All of the above
A large part of a command economic system is controlled by:
a centralized power; federal government
No one. It's an economy based off of individual freedom
Command economies cannot prevent mass unemployment.
True
False
The main strength of a command economy is that it can change direction drastically in a relatively short time:
False
True
A command economy gives people the motivation to work hard:
True
False
