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WorksheetsEconomic System
Total questions: 20
Worksheet time: 11mins
An economic system in which business are allowed to produce any goods and services they wish is referred to as ...
A centrally planned economy
A pure market capitalist economy
A mixed market capitalist economy
A socialist economy
A situation that occurs when two or more businesses try to sell the same type of product to the same customers is referred to as ...
Competition
Factors of production
Consumer goods
Free enterprise
The items that consumers buy are called ...
Private property
Factors of production
Producer goods
Consumer goods
Things that are needed to produce goods and services are called ...
Efficient use of resources
Factors of production / resources
Economic systems
Private property
An economic system in which private property is almost totally restricted is called ...
A mixed economy
Competition
Free enterprise
A planned socialist economy
An economic system that has some government restrictions on the actions of individuals and businesses is called ...
A mixed market capitalist economy
Factors of production
A centrally planned economy
Free enterprise
Goods that are used to produce other goods are called ...
Consumer goods
Private property
Producer goods
Competition
Two basic types of economic systems are ...
Natural resources, labour
What to produce, how to produce
Planned socialist, market capitalism
Business, consumers
The words "producer goods" describe ...
The final product that a producer makes
The products made by all producers
The goods used to produce other goods
Equipment but not factories and offices
The phrase "profit is the incentive for business" means that profit ...
Provides a strong reason to reduce investment
Reduces the need for efficient use of resources
Provides a reward for the risk and effort involved
Provides the incentive to increase expenses
Competition occurs if ...
Two or more businesses try to sell the same type of goods or services to the same customer
Government agencies are the only producers of goods or services
One business has the approval to sell the total production of one type of good or service
One large business owns all the natural resources needed to produce some particular product
Which of the following is not an example of a situation that increases profit in a free enterprise system?
A business enterprise begins to lower its costs
A producer uses the firm's resources more efficiently
The cost of raw materials has increased
Ambitious salespeople have increased the sales volume without reducing prices
Australia's economy is referred to as a mixed economy because ...
Producers can produce whatever they wish
Businesses can act independently without government interference
Government is involved in regulating and owning some businesses
Government owns all businesses
A centrally planned economy promotes ...
Private property, profit, and competition
Government ownership, no competition, and no profit
Government ownership, competition, and no profit
Government ownership, profit, and no competition
A planned socialist economy has ...
Large military spending, incentive to work to benefit individuals, and a large bureaucracy
A large planning agency, many government employees, and many social benefits
A large planning agency, many personal freedoms, and many social benefits
Large military spending, a large bureaucracy, and many personal freedoms
What is/are the basic question(s) all economic systems try to answer?
What (and how much) to produce?
How to produce?
For whom to produce? (How to distribute income?)
All of the above.
What is an economic problem every nation has?
How to maximise profits
Not enough population.
Too much pollution.
Not enough resources to satisfy all wants
When deciding "what to produce", what is said to be limited?
Population
Power
Resources
Water
Who ultimately makes the decisions in a market capitalist economy?
The government
Businesses
Consumers
Voters
Which of the following economic systems aims for the highest level of income equality among its citizens?
Pure Market capitalism
Mixed market capitalism
Planned socialism
Subsistence
