Unit 2 Economics Test Review, Market Systems

Who wrote The Wealth of Nations?

What is the best incentive for a consumer?

According to Smith, which of these is NOT one of the ways to gain the cooperation of others?

Which of the following is NOT a characteristic of a command economy? 

Smith believe a command economy can't work because of all of these but one:

The struggle among producers for the dollars of consumers is called:

This economic system produces things with government owned businesses

A place to exchange goods and services is called a:

Which of the following statements is NOT true:

What does a consumer want to maximize? 

In the product market, what is the role of the household?

How do you fix the Tragedy of the Commons?

Which of these is NOT one of the basic economic questions?

This Kind of Economic system produces items for whom ever wants them the most

Why does the Tragedy of the Commons happen?

This Kind of Economic system produces items for everyone equally

What causes the Tragedy of the Commons?

What is the role of the Gov't in our market economy?

What is an advantage of a command economy?

When people only have one profession and do their best at it:

This economic system produces things by following customs and gender lines

If the public demands more of an item, which characteristic of a Market is that?

This economic system produces things with privately owned and specialized businesses

Which of these is NOT a goal of a Market Economy? 

Which of these is the most important to a command economy?

The basis of voluntary trade is:

Besides self-interest, what is the other component of the invisible hand?

What is a positive effect of a market ecomony?

What is the most important factor in determining why some nations are rich and others are poor?

What does the product market receive from the consumer?

What is a negative effect of a command economy?

What economic system did Karl Marx inspire?

What is a negative effect of the Market economy?

economic system where production and distribution is decided by gov't, family, and individual

This Kind of Economic system produces items for whom ever needs them the most

What does the household provide to the resource market?