stud
bud
Sign up
Log in
Home
Library
Explore
SAT
More
Economic Systems Flashcards | StudBud
Explore
/
Economic Systems
A market........
The main disadvantage of a mixed economy is what?
Economic Systems
31 terms
·
StudBud Administration
·
507 plays
#econ
Flashcards
31 cards
F
Practice quiz
P
Host live
L
Questions
31
Answers
1
The main disadvantage of a mixed economy is what?
protects the most vulnerable citizens
Grows faster
cost of services and high taxes
Provide more services to its citizens
2
A market........
is where the goods and services are exchanged based on price
Both 2 and 3
Where buyers and sellers interact
draws attention to the private ownership of resources
3
An economic system that has a combination of traditional, command and market economies
Communism
Mixed Economy
Marxism
Feudalism
4
What is NOT an advantage of a market economy?
May not provide enough of basic goods and services
Small degree of government interference
High degree of individual freedom
Adjusts gradually to change over time
5
What historical event caused the United States to move away from a pure market economy?
The Civil War
World War II
The Great Depression and launching of the New Deal
NAFTA
6
What happens if people cannot afford to pay their health care bills?
They go into serious debt
Possibly bankruptcy
Taxpayers have to pay the bill
All of the above
7
Why does a command economic system adjust to rapidly changing circumstances better?
It can use the central bank and treasury to provide goods and services
Because it does not have a profit motive to deliver essential resources
Because it is based on markets which can quickly provide the needed goods
It can divert resources more quickly to the needs of citizens
8
Which of the following is NOT a member of the Soviet bloc that shed communism to embrace capitalism in the early 1990s
Poland
Romania
Slovenia
Latvia
9
A market economy is based on what type of incentives?
All of these
pursuit of self interest
economic freedom
profit motive
10
What is one disadvantage of a command economy?
It does not provide for everyone
High government officials live lavishly while citizens don't
There is a high degree of uncertainty
It can change direction drastically
11
A market system is best suited to deliver all essential goods and services
False
True
12
Which of the following countries has a longer experience with their transition to capitalism?
Venezuela
Russia
Argentina
China
13
Command economies usually produce higher quality goods than market economies because everyone receives them equally
True
False
14
A market economy..............
All of the above
Features private ownership of resources
is largely capitalistic
is characterized by a great deal of freedom
15
This country was once the poorest countries in Asia but now is a major producer of cars, electronics and appliances.
South Korea
Cambodia
Thailand
Mongolia
16
A market system would be best suited to achieve efficiency for most goods and services in a country
True
False
17
A country can have capitalistic characteristics and be communist as well.
True
False
18
This European country has a mix of high-tech capitalism and social welfare programs and produces high GDP per capita
Germany
Sweden
Japan
Finland
19
Capitalism is where private citizens own and use the factors of production for.............
the benefit of government
The common good of society
Their own profit and gain
20
An economy where the central authority makes the major production decisions by law or owning resources.
Command Economy
All of the above
Mixed Economy
Market Economy
21
This island country is about the size of Chicago, ranks 40th in GDP and has a 20% higher per capita income than the US
New Zealand
Malaysia
Singapore
Taiwan
22
What three types of economic systems can provide solutions to the central economic problem of scarcity?
Traditional, market and command economic systems
None of the above
Traditional, Laissez Faire, Transitional
Crypto, federal reserve system and laissez faire system
23
What type of economy defines individuals roles based on ritual, customs or habit and reduces uncertainties?
Command
Market
None of the above
Traditional
24
The United States has a...........
Pure market economy
Mixed market economy
Command Economy
Mixed Socialist economy
25
Command economies exhibit what type of decision making regarding productive resources?
laizzez faire
Decentralized
Centralized
voluntary exchange
26
What are other disadvantages of a command economy?
Lacks flexibility to promptly deal with major problems
It is driven by profits and competition
Both 1 and 2
Wages are relatively uniform in command economies
27
What is an example of a command-like economic feature in the United States?
UPS
US Postal Service
FedEx
Amtrak
28
What is the major difference between a socialist and command economy?
The government makes most of the economic decisions
Fewer resources are owned by the government in socialism
Citizens use bribery to obtain resources under socialism.
command economies have more property rights
29
A market economy is best suited to adjust to rapidly changing circumstances
False
True
30
What is one advantage of a command economy?
High degree of individual freedom
Small degree of government interference
Public Services are available at litte or no cost
adjusts gradually to change over time
31
Goods and services are never free
True
Merica'
False
