Economics Chapter 2

Question 1

form of government which limits individual freedoms and requires strict obedience from citizens

Accepted Answer

authoritarian

Question 2

In a free market economy, who owns the factors of production

Accepted Answer

individuals

Question 3

arrangement that allows buyers and sellers to exchange goods and services.

Accepted Answer

market

Question 4

Which of the following is NOT one of the three economic questions?

Accepted Answer

Who will break it

Question 5

political system with all economic and political power in the hands of the government

Accepted Answer

communism

Question 6

economic and political systems that belief that wealth should be even throughout society

Accepted Answer

socialism

Question 7

United States government intervenes in the economy in order to

Accepted Answer

protect

Question 8

The doctrine that government generally should not interfere in the marketplace.

Accepted Answer

laissez faire

Question 9

economic decisions are made by individuals and are based on exchange, or trade

Accepted Answer

free market

Question 10

Adam Smith says this regulates the free market economy

Accepted Answer

invisible hand

Questions 10