Econ 1a
Student: ___________________________________________________________________________
1. Which of the following is a distinguishing feature of a command system?
A. private ownership of all capital.
B. central planning.
C. heavy reliance on markets.
D. wide-spread dispersion of economic power.
2. Which of the following is a distinguishing feature of a market system?
A. public ownership of all capital.
B. central planning.
C. wide-spread private ownership of capital.
D. a circular flow of goods, resources, and money.
3. Examples of command economies are:
A. The United States and Japan.
B. Sweden and Norway.
C. Mexico and Brazil.
D. Cuba and North Korea.
4. Of the following countries, which one best exhibits the characteristics of a market economy?
A. Canada.
B. Cuba.
C. North Korea.
D. China.
5. The French term "laissez-faire" means:
A. "there is no free lunch."
B. "let it be."
C. "circular flow."
D. "public ownership."
6. An economic system:
A. requires a grouping of private markets linked to one another.
B.
is a particular set of institutional arrangements and a coordinating mechanism used to respond to the economizing problem.
C. requires some sort of centralized authority (such as government) to coordinate economic activity.
D. is a plan or scheme that allows a firm to make money at some other firm's expense.
7. The term laissez-faire suggests that:
A. land and other natural resources should be privately owned, but capital should be publicly owned.
B. land and other natural resources should be publicly owned, but capital should be privately owned.
C. government should not interfere with the operation of the economy.
D. government action is necessary if the economy is to achieve full employment and full production.
8. Economic systems differ according to which two main characteristics?
A. Who owns the factors of production, and the methods used to coordinate economic activity.
B. The technology used in production, and the
1. Which of the following is a distinguishing feature of a command system?
A. private ownership of all capital.
B. central planning.
C. heavy reliance on markets.
D. wide-spread dispersion of economic power.
2. Which of the following is a distinguishing feature of a market system?
A. public ownership of all capital.
B. central planning.
C. wide-spread private ownership of capital.
D. a circular flow of goods, resources, and money.
3. Examples of command economies are:
A. The United States and Japan.
B. Sweden and Norway.
C. Mexico and Brazil.
D. Cuba and North Korea.
4. Of the following countries, which one best exhibits the characteristics of a market economy?
A. Canada.
B. Cuba.
C. North Korea.
D. China.
5. The French term "laissez-faire" means:
A. "there is no free lunch."
B. "let it be."
C. "circular flow."
D. "public ownership."
6. An economic system:
A. requires a grouping of private markets linked to one another.
B.
is a particular set of institutional arrangements and a coordinating mechanism used to respond to the economizing problem.
C. requires some sort of centralized authority (such as government) to coordinate economic activity.
D. is a plan or scheme that allows a firm to make money at some other firm's expense.
7. The term laissez-faire suggests that:
A. land and other natural resources should be privately owned, but capital should be publicly owned.
B. land and other natural resources should be publicly owned, but capital should be privately owned.
C. government should not interfere with the operation of the economy.
D. government action is necessary if the economy is to achieve full employment and full production.
8. Economic systems differ according to which two main characteristics?
A. Who owns the factors of production, and the methods used to coordinate economic activity.
B. The technology used in production, and the