Economics Chpt. 2 "Economic Systems and Decision Making"

Question 1

Which of these societies has a traditional economy?

Accepted Answer

Canadian Inuit

Question 2

Provides people with the incentive to work and invest because they control their possessions.

Accepted Answer

private property rights

Question 3

This type of economy decides how to use scarce resources through ritual, habit, or custom.

Accepted Answer

traditional economy

Question 4

When the government forces a recall of faulty airbags in cars it is filling this role.

Accepted Answer

protector

Question 5

The government is filling this role when they give money to build a park or a bridge.

Accepted Answer

provider

Question 6

Social Security is an example of this American and economic social goal.

Accepted Answer

economic security

Question 7

Hope for a better job or house in the future is an example of this economic and social goal.

Accepted Answer

economic growth

Question 8

The struggle between producers to attract consumers is called...

Accepted Answer

competition

Question 9

Which of these societies has a market economy?

Accepted Answer

Australia

Question 10

Government is fulfilling this role when it oversees industries and preserves competition.

Accepted Answer

regulator

Question 11

This social and economic goal seeks to protect those on a fixed income.

Accepted Answer

price stability

Question 12

What is the definition of inflation?

Accepted Answer

general increase in prices

Question 13

"The customer is always right" refers to the central place of the ____ in the economy.

Accepted Answer

consumer

Question 14

When the government buys office supplies it is filling its role as __________.

Accepted Answer

consumer

Question 15

An individual that takes risks and starts a new business is filling this role in the economy.

Accepted Answer

entrepreneur

Question 16

This is a disadvantage of the market economy.

Accepted Answer

does not provide for everyone

Question 17

Economic and social goal, Americans can choose their occupations and how to spend money.

Accepted Answer

economic freedom

Question 18

This is an advantage of the market economy.

Accepted Answer

limited government interference

Question 19

Which one of these is an advantage of a command economy?

Accepted Answer

cheap or free health care

Question 20

The minimum wage is an example of this American economic and social goal.

Accepted Answer

economic equity

Question 21

Which of these societies has a command economy?

Accepted Answer

North Korea

Question 22

Act of buyers and sellers freely engaging in transactions.

Accepted Answer

voluntary exchange

Question 23

This economic system believes in the collective ownership of the factors of production.

Accepted Answer

communism

Question 24

Degree that a company is better off in a specific period of time.

Accepted Answer

profit

Question 25

Economic system where the government owns some but not all of the factors of production.

Accepted Answer

socialism

Question 26

Economic system in which basic economic decisions are made by a central authority.

Accepted Answer

command economy

Question 27

This economic system believes in the private ownership of the factors of production.

Accepted Answer

capitalism

Question 28

In this type of economy people make decisions based on self interest.

Accepted Answer

market

Question 29

An increase in the minimum wage raising the unemployment rate is an example of...

Accepted Answer

trade off betwen social and economic goals

Economics Chpt. 2 "Economic Systems and Decision Making"

Questions 29

Economics Chpt. 2 "Economic Systems and Decision Making"

Questions 29