Econ Chapter 2

Question 1

7. A market economy allows buyers and sellers to do what?

Accepted Answer

D.Make their own decisions regarding what to buy or what to sell

Question 2

6. Programs that provide services for the public using taxpayer $ are often considered

Accepted Answer

socialist

Question 3

10. What is one advantage of a mixed market economy in a democracy?

Accepted Answer

C.Citizens can vote to help those in need economically.

Question 4

The Great Depression lasted from approximately 1829-1839

Accepted Answer

False

Question 5

4. .The term describing forced common ownership of factors of production is

Accepted Answer

collectivization

Question 6

8. A factor contributing to the spread of capitalism across the world is that

Accepted Answer

world-wide media connections allow everyone to be aware of CAP's benefits

Question 7

econ system characterized by a central authority that makes most of the major economic decisions

Accepted Answer

command economy

Question 8

econ/pol system -factors of production collectively owned/directed by the state- a theoretically classless society

Accepted Answer

commuism

Question 9

econ system- allocation of scarce resources, and other economic activity, is result of ritual, habit, custom

Accepted Answer

traditional economy

Question 10

This country was one of the poorest in Asia in the 1950's, but has successfully rebuilt its economy

Accepted Answer

South Korea

Question 11

shift of an economy, or part of an economy, from private ownership to govt ownership

Accepted Answer

nationalization

Question 12

conversion of state-owned factories and other property to private ownership

Accepted Answer

privatization

Question 13

1.How does a traditional economy answer the basic questions of WHAT, HOW, and FOR WHOM to produce?

Accepted Answer

A. Customs, traditions, and the elders decide

Question 14

Rulers w/ absolute power make the decisions in a command economy

Accepted Answer

True

Question 15

5. Which of the following is an example of the advantages of capitalism?

Accepted Answer

C.Strong econ growth in countries such as Germany, South Korea, U.S.

Question 16

9. A state in which everyone contributes according to their abilities and consumes based on their needs

Accepted Answer

A.has never existed.

Question 17

3. Which is a modern example of a command economy?

Accepted Answer

North Korea

Question 18

Why is China considered a mixed economy?

Accepted Answer

Its economy includes govt control as well as market and tradition.

Question 19

Not one of the three basic question in an econ system in terms ofproduction

Accepted Answer

when?

Question 20

2. What type of economy is most common worldwide?

Accepted Answer

mixed

Questions 20