stud
bud
Sign up
Log in
Home
Library
Explore
SAT
More
Duplicate of Economic Systems Flashcards | StudBud
Explore
/
Duplicate of Economic Systems
Duplicate of Economic Systems
23 terms
·
StudBud Administration
Introduction to the basics of economics and systems
Flashcards
23 cards
F
Practice quiz
P
Host live
L
Questions
23
Answers
1
What is the profit motive?
incentive to make money
money that a business makes
opportunity for success
exchange of goods
2
What is one way the government might try to promote economic growth?
increase spending
raise taxes
produce more goods
reduce prices
3
What is one way the Constitution protects the free enterprise system?
It prevents the government from making contracts.
It establishes the principle of voluntary exchange.
It recognizes private property rights.
It spells out the rights of consumers.
4
The United States economy is a mixed economy
free market with some government intervention
free market with no government intervention
traditional economy with some government intervention
centrally planned with no government intervention
5
Health insurance for the elderly, the poor, and the disabled is provided by
the unemployment insurance program.
Worker’s Compensation.
TANF
Medicare and Medicaid.
6
The ________ system is another name for a market economy.
Centrally Planned
Command
Free Enterprise
Socialist
7
What is one of the most important principles of economics?
globalization
money
scarcity
distribution
8
Roads and bridges are examples of how government provides
grants
market failure
in kind benefits
public goods
9
Which of the following philosophers recommended the free market
Adam Smith
Vladimir Lenin
Friedrich Engels
Karl Marx
10
Traditional economies usually
adapt to innovation
avoid change
11
Why does the government protect inventors and authors by offering them patents and copyrights?
to promote innovation
to strengthen American culture
to regulate the business cycle
to encourage free trade
12
To improve its standard of living, a nation’s economy must
grow throw innovation
remain stable
reach economic equity
allow the government to make decisions
13
What do people supply in return for factor payments?
innovation, labor, or trade
land, labor, or capital
innovation, profit, or goods
services, goods, or traditions
14
a system to protect people experiencing unfavorable economic conditions
soul glo
factor payments
safety nets
market exchange
15
Which are the government’s three goals for promoting economic strength?
low unemployment, low prices, and low taxes
high employment, steady growth, and stability
steady growth, high prices, and innovation
high employment, increased spending, and low taxes
16
What does the process of specialization do for an economy?
It fosters competition.
It eliminates unemployment.
It makes production more efficient.
It makes labor easier to control.
17
In a free enterprise system, who decides what will be produced?
consumer
government
producers
firms
18
Competition is a driving force in a free enterprise economy.
True
False
19
In a command economy, the government regulates how goods and services are distributed.
False
True
20
Which of the following is considered a "cash transfer"
section 8
unemployment compensation
grants
food stamps
21
the level of economic prosperity
poverty threshold
traditional economy
specialization
standard of living
22
A person who believes that wealth should be evenly distributed throughout society is
an entrepreneur.
a socialist.
a communist.
a capitalist.
23
How will consumers react to the incentive of a higher price on a good or service?
remain stable
negative, buy more products
positive, buy more products
negative, buy less products
