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Mercantilism v. Free Enterprise

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

TRUE or FALSE: The American economy allows individuals to purchase what they want, work where they want, and change jobs when they want. 

a)

TRUE

b)

FALSE

2.
In the American Free Enterprise System, you have the right to buy or sell private property.
a)
True
b)
I do not believe that people should own property, or have the right to buy or sell it.
c)
False
3.

What did European Countries BUY from the Colonies?

a)

Raw Materials

b)

Finished Products

4.

What did the European countries do with the raw materials?

a)

Turn them into finished products

b)

Re-sell them to other Colonies

c)

Re-sell them to other Countries

d)

Trade them away

5.

After round TWO, who benefited the most from the Navigation Acts?

a)

France

b)

Colonies

c)

Spain

d)

Great Britain

6.

What is mercantilism?

a)

A system where a mother countries gains money and power from natural resources that come from its colonies.

b)

where colonies trade gold and silver with each other.

c)

Wars that start over money.

d)

Plantation colonies trading slaves for money.

7.

True or False? Great Britain wanted to create wealth by importing more goods than it exported.

a)

True

b)

False

8.

Which term means a good to sold another country?

a)

Import

b)

Export

9.

The impact of mercantilism was that

a)

The rate of slavery in the Americas went down

b)

Trade was limited in the Atlantic

c)

The Colony grew wealthy

d)

The Mother Country grew wealthy

10.

In a free enterprise system, the government places ________________ restrictions on businesses and its citizens:

a)

minimum

b)

maximum

c)

normal

d)

abnormal

11.

A government which uses a free enterprise system of economics, allows its citizens to:

a)

Start their own business

b)

purchase goods wherever

c)

spend their money as they please

d)

all of the above

12.

In a free enterprise system, the spending habits of _____ determine which products and services to offer:

a)

Consumers

b)

Government

c)

Professors

d)

Politicians

13.

When two or more businesses produce and sell similar products and compete against each other

a)

War

b)

Competition

c)

Game

d)

Scarcity

14.

Is Consumer preferences and spending habits are the main drivers of business decisions, not government policies and intervention. Your decision to open a coffee shop, start an online business, or choose to become a doctor are all examples of a free enterprise system at work.

a)

True

b)

False

15.

Under a free enterprise system, businesses in the US are allowed to do all of the following EXCEPT

a)

decide what products to sell

b)

decide how to operate their business

c)

price their products

d)

they're allowed to do all of the above