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Worksheets

Economic Systems

Total questions: 17

Worksheet time: 28mins

Name
Class
Date
1.

Ivan works in a government owned car factory because this was the job he was assigned. Every day he works hard to meet production goals set by his leaders. He his happy to do the work because he knows he is doing his part to keep his government strong and powerful.


In which type of economy does Ivan work?

a)

Command

b)

Market

c)

Traditional

d)

Mixed

2.

In eastern Africa, the Maasai people have an economy based on raising cattle, goats, and sheep. They have lived this way for many generations. Maasai groups share grazing land and water and exchange livestock as a way to establish group bonds. This system allows the Maasai to take care of each other and focus on the needs of the children and the elderly.


What type of economic system best describes the one the Maasai use?

a)

Command

b)

Mixed

c)

Traditional

d)

Market

3.

Steve started a technology company because he noticed people really like new technology. At first Steve decided to make cell phones. Then he noticed that man people were buying tablets as well. Steve realized he could make even more profit if he manufactured tablets and cell phones. Now Steve runs an even more profitable company. The government does NOT tell Steve what to do, and because of this he pays his employees as little as possible and does not have health care benefits.


What type of economic system does Steve participate in?

a)

Traditional

b)

Market

c)

Mixed

d)

Command

4.

Abby was tired of working at a bank and decided to follow her love of baking. She got a loan and opened a cake shop that specializes in creating wedding cakes. Abby puts in long hours making amazing cakes, but she is happy because she is following her dream. Abby also has to make sure she is following government regulations about food safety. Abby has to wear gloves when working with food items and make sure foods that can spoil are always kept at cold temperatures. Abby joined a Bakers Association to help keep up with the rules around food service.


What kind of economy is being used in Abby's society?

a)

Market

b)

Traditional

c)

Command

d)

Mixed

5.

Surplus is the amount left over after a goal is met.

a)

True

b)

False

6.

Scarcity is:

a)

the surplus of an item

b)

the control of an item

c)

the short supply of an item

7.

Profit is a financial loss.

a)

True

b)

False

8.

Supply and demand impact the __________ of an item or resource.

a)

price

b)

profit

c)

surplus

d)

scarcity

9.

Gas station A sells gas for $2.75/gallon. Gas station B across the street sells gas for $2.74/gallon. The next day, Gas station A lowers its price to $2.74/gallon.


Which term describes why they did this?

a)

innovation

b)

supply and demand

c)

opportunity cost

d)

competition

10.

Maria goes to the store and buys a new backpack.

a)

Maria is a consumer

b)

Maria is a producer

c)

Maria is making a profit

d)

Maria is owning a business

11.

Tyler mows lawns and does other yard work for $10 an hour.

a)

Tyler is limited by the government

b)

Tyler is a consumer

c)

Tyler is an innovation

d)

Tyler is a producer

12.
If my government is selling me bread for $5 a loaf, and I have no choice but to buy that type of bread, I live in a _____ economy. 
a)
Traditional 
b)
Market 
c)
Command 
d)
Mixed
13.
Mary Ann runs a car dealership selling only government produced cars.  At the end of the month Mary Ann must give all of the money she made back to the government.
a)
Traditional 
b)
Free Market
c)
Mixed
d)
Command
14.
Something people use is called  ____________.
a)
a Need
b)
a Resource
c)
an Export
15.
Import means
a)
buying goods from another country
b)
selling goods to another country
c)
only making one kind of product
16.

According to CNN, the United States receives 80% of its avocados from Mexico. Mexico receives most of its auto parts from the United States. This is an example of the following.

a)

Imports & Exports

b)

Supply and demand

c)

Infrastructure

d)

Globalization

17.

Tyler mows lawns and does other yard work for $10 an hour.

a)

Tyler is producing a good.

b)

Tyler is providing a service.