WorksheetsEconomic Systems & Factors of Production
Total questions: 50
Worksheet time: 28mins
What is a key characteristic of a Traditional economic system?
Government control
Bartering system
High technology use
Large corporations
In a Free Enterprise (Market) system, who has the power?
The government
The workers
The buyer (consumer)
A small group of elites
Which of the following is a positive aspect of a Traditional economic system?
High unemployment
Keeps traditions and customs alive
High taxes
Poor quality goods
What is a negative aspect of a Free Enterprise (Market) system?
Limited growth opportunities
High taxes
Can lead to high unemployment
No wastage of goods
In a Socialism (Mixed) system, who has the power?
The government
The workers, as in the entire group
The buyer (consumer)
A small group of elites
Which economic system is characterized by the government owning and controlling all economic activities?
Traditional
Free Enterprise (Market)
Socialism (Mixed)
Communism (Command)
What is a positive aspect of a Socialism (Mixed) system?
High unemployment
All citizens have access to education and healthcare
No government involvement
High focus on making money
Which of the following is a negative aspect of a Communism (Command) system?
Creates a classless society
Very low unemployment
Can lead to dictatorships
Lots of economic growth
What is an example of a country with a Traditional economic system?
United States of America
Vietnam
North Korea
Papua New Guinea
Which economic system is based on supply and demand?
Traditional
Free Enterprise (Market)
Socialism (Mixed)
Communism (Command)
What is a negative aspect of a Socialism (Mixed) system?
High taxes
No wastage of goods
Lots of choice
Keeps traditions alive
In which economic system are products the result of collective work?
Traditional
Free Enterprise (Market)
Socialism (Mixed)
Communism (Command)
Which economic system has very little government involvement?
Traditional
Free Enterprise (Market)
Socialism (Mixed)
Communism (Command)
What is a positive aspect of a Communism (Command) system?
High unemployment
Creates a classless society
Limited growth opportunities
High taxes
Which economic system is exemplified by North Korea?
Traditional
Free Enterprise (Market)
Socialism (Mixed)
Communism (Command)
What is an economic system?
A system that involves the production, distribution, and consumption of goods and services in a society.
A system that only involves the distribution of goods and services in a society.
A system that focuses on the production of goods and services for personal use.
A system that involves the exchange of goods and services in a society.
Which economic system is characterized by private ownership and minimal government intervention?
Traditional
Free Enterprise (Market)
Socialism (Mixed)
Communism (Command)
What is a disadvantage of a Traditional economic system?
High innovation
Limited access to technology
Rapid economic growth
High levels of competition
Which economic system is characterized by high levels of government regulation and control?
Traditional
Free Enterprise (Market)
Socialism (Mixed)
Communism (Command)
What is a positive aspect of a Free Enterprise (Market) system?
High levels of innovation
High taxes
Limited consumer choice
Government control
Which economic system is most likely to preserve cultural traditions and customs?
Traditional
Free Enterprise (Market)
Socialism (Mixed)
Communism (Command)
What are the factors of production?
Natural resources, labor, capital, and entrepreneurship
Land, water, air, and fire
Money, time, effort, and skill
Goods, services, trade, and consumption
What do natural resources include?
Land and raw materials
Money and investments
Technology and innovation
Labor and management
What is a wage?
Payment for labor
Cost of raw materials
Profit from sales
Tax on goods
What is the wealth of a country usually determined by?
Goods and services made and consumed
The number of natural resources
The size of the population
The amount of land
What can raw materials be used to create?
Products that can be sold or used by people
New technologies
Financial investments
Educational programs
What is an example of a raw material?
Coal
Plastic
Steel
Glass
What is the main purpose of a capital good?
To consume goods
To produce goods
To entertain people
To transport goods
What is the role of capital in a business?
To entertain employees
To provide money for the business
To consume products
To create advertisements
What is an entrepreneur's risk in starting a business?
Losing money
Gaining fame
Traveling the world
Meeting new people
What is a primary goal of a Command economic system?
Maximize individual wealth
Ensure equal distribution of resources
Encourage competition
Promote technological innovation
How many factors of production are needed to produce a good or service?
2
4
6
8
What is labor?
Hard Work
People who only do the physical work.
People who do the work to produce something.
None of the above.
What could be an example of capital?
Buildings
Machines
Money
All of the above
What is entrepreneurship?
Shipping of products and services.
Starting or improving a business.
Improving needs and wants.
All of the above.
__________ The entrepreneur combines natural resources, labor, and capital to produce a good or service.
True
False
Which one of the four factors of production does the image show?
Entrepreneur
Capital
Natural Resources
Labor
Which one of the four factors of production does the picture show?
Natural Resources
Labor
Capital
Entrepreneur
Which one of the four factors of production does the picture show?
Labor
Natural Resources
Capital
Entrepreneur
If I choose to be a fisherman for my town because my father was a fishermen, and my grandfather was a fisherman what economic system is this?
Mixed
Market
Traditional
Command
Which of the following is an example of a capital good?
A vacation brochure
A concert ticket
A sandwich eaten for lunch
A delivery truck used by a company
What is a common feature of a Free Enterprise (Market) economic system?
Private businesses compete for profit
Government sets all prices
Traditions determine production
All resources are owned by the state
Which factor of production involves taking risks to start a new business?
Capital
Labor
Natural Resources
Entrepreneurship
What is a common feature of a Free Enterprise (Market) economic system?
Prices are set by government officials
Production is based on customs and traditions
All resources are owned collectively
Businesses compete to offer goods and services
Which of these is NOT one of the 4 factors of production?
Labor
Land
Entrepreneurship
Work Skills
In a __________________ economy, families, clans, or tribes make economic decisions based on generational customs and beliefs.
Mixed
Market
Traditional
Command
Free Enterprise is also known as (a) economy.
Traditional is also known as (a) economy.
Socialism is also known as (a) economy.
Communism is also known as (a) economy.
