9. $100 $200 $300 $400 $500 $100 $200 $300 $400 $500 $100 $200 $300 $400 $500 $100 $300 $400 $500 $100 $200 $300 $400 $500 $100100 $300300 $400400 $500500 $200 $200

10. In the former Soviet Union, the practice of people taking factory light bulbs to use in their homes was the result of: a)Shortage b)Scarcity What type of economic system does this happen in?

11. The situation where women tend crops and raise children while men hunt is often found in what type of economic system?

12. Since 2003, central planners of North Korea have a.increased restrictions on private ownership of resources b. established plans to completely open the economy to market forces c. relaxed restrictions on private ownership somewhat d. clamped down on all market activity in the economy

13. Resistance to the introduction of new farming methods is an attitude often found in what type of economy?

14. The economic decisions of central planners often are wrong because they have little understanding of…

15. A business taking a survey to find out consumer's wants is an illustration of: a)Consumer sovereignty b)Laissez Faire

16. The most common economic system is a: a. traditional economy b. command economy c. market economy d. mixed economy

17. A society that has public schools and ownership of private property has elements of which two economic systems?

18. Elements of traditional, command, and market economies are combined in what type of economic system?

19. Freedom of economic choice is one of the chief advantages of what economic system?

20. What are four disadvantages of corporations?

21. Which of the following is a corporation that issues stock that can be freely bought and sold? a. nonprofit corporation b. multinational corporation c. private corporation d. public corporation

22. What are the disadvantages of partnerships?

23. What are the disadvantages of sole proprietorships?

24. What is the name for a contract in which a corporation promises to repay borrowed money, plus interest, on a fixed schedule?

25. A circular flow model shows what?

26. In a factor market a. businesses are customers and individuals are producers b. individuals are customers and businesses are producers c. businesses sell productive resources d. individuals buy goods and services

27. What is the product market?

28. Someone buying a laptop is participating in what market?

29. Someone hiring a cashier is participating in what market?

30. What did Karl Marx predict would happen between workers and factory bosses in time?

31. What are the advantages of owning a franchise?

32. Moving steel mills from private ownership to public ownership is an example of: a. globalization b. socialization c. nationalization d. privatization

33. Are there any pure market systems in today’s world?

34. According to Karl Marx, wage slavery was created by what?

36. ADVANTAGESDISADVANTAGES Economic Freedom – jobs, purchases Unequal distribution of wealth Political Freedom Unequal opportunities Quicker response to change Profit What economic system is represented by the chart above?

37. Advantages Easy to open and close Few regulations Freedom and control Owner keeps Profit Disadvantages Limited funds Limited life Unlimited liability What type of business is represented by the chart above?

38. Advantages Easy to open and close Few regulations Access to resources Joint Decision Making Specialization Disadvantages Potential for conflict Limited life Unlimited liability What type of business is represented by the chart above?

39. Advantages Access to Resources Professional Managers Limited Liability Unlimited Life Disadvantages Start-Up Cost and Effort Heavy Regulation Double Taxation Loss of Control What type of business is represented by the chart above?

40. ADVANTAGES: The three economic questions are clearly answered by custom There is little disagreement over economic goals DISADVANTAGES: They resist change They are less productive because of this Everything is based on custom so people aren’t always using their strengths They have a lower standard of living What type of market is represented by the chart above?

41. COMMUNISMSOCIALISMMARKET SYSTEM WHO OWNS RESOURCES? HOW ARE RESOURCES ALLOCATED? WHAT ROLE DOES GOVERNMENT PLAY? Fill in the chart below:

42. Government planners allocate basic resources; market forces allocate privately- owned resources COMMUNISMSOCIALISMMARKET SYSTEM WHO OWNS RESOURCES? HOW ARE RESOURCES ALLOCATED? WHAT ROLE DOES GOVERNMENT PLAY? Government Government planners decide how resources are used Government makes all economic decisions Government owns basic resources; the rest are privately owned All resources are privately owned Government makes decisions in the basic industries Market forces allocate resources Government’s role limited- mostly to ensure market forces are free to work