Political and Economic Systems Test Review

This system is where some laws come from the central government, and some laws come from each state? 1. Unitary 2.Confederation 3.Federal 4.Parliamentary

3. Federal

The U.K, Russia, Germany and the U.S all have which type of economy? 1. traditional 2 command 3. mixed 4. market

Which economic system has features of traditional, command and market systems? 1. Market 2. Traditional 3. Mixed 4. Free Market

3. mixed

Being a member of the European Union provides all EXCEPT: 1. one common currency 2. more human capital for your country 3. more trade partners 4. more economic and financial stability

2. more human capital for your country

What type of capital is an employee/ worker 1. market capital 2. state capital 3. capital good 4. human capital

Which system is where social roles and culture determines how goods are made, sold and bought? 1. Mixed 2. Command 3. Free Market 4. Traditional

What economic system does the government have the biggest impact and control of the economy? 1. mixed 2. command 3. traditional 4. market

2. command

Presidential and Parliamentary systems have the following in common: 1. democratic forms of govt 2 leader types 3. ways the power is distributed 4. currency

1. democratic forms of govt

How does investing in human capital impact a nation’s economy 1. it increases the literacy rate and effectiveness of business 2. it decreases the amount of unemployment and crime 3. it adds to the Gross Domestic product of the country 4. all of the above

True or False? A quota is the limit a government places on goods that can be imported from another country 1. True 2. False

3. traditional

A trade barrier in which the government places restrictions on imports and exports of certain goods; often backed by military force is… 1. tariff 2. embargo 3. quota 4. capitalism

2. embargo

A political system based on 1-party rule; government ownership of economic resources, and decisions are made by the government is? 1. communism 2. capitalism 3. socialism 4. fascism

1. communism

An increase in value of all goods and services a country makes from 1 year to another is called? 1. currency exchange 2. economic growth 3. gross domestic product (GDP) 4. capital goods

2. economic growth

A tax on an import is a 1. quota 2. tariff 3. embargo 4. sale

2. tariff

Trade between countries around the world is called… 1. International trade 2. currency exchange 3. embargo 4. economic guarantees

1. International trade

Private businesses are part of command economies? 1. TRUE 2. FALSE

2 FALSE

All of the following are questions a nation must answer to build an economy EXCEPT: 1 what to produce 2. who is going to produce it 3. how to produce 4. for whom to produce

2. who is going to produce it

A place or situation where money from different countries is bought and sold for a price is… (ex. I go to Germany and have to swap my dollars for Euros) 1. economic growth 2. GDP 3. exports 4. currency exchange

use of income today in a way that allows growth in the future 1. economic growth 2. GDP 3. investment 4. capital goods

3. investment

Which of the following statements is the BEST example of a command economy? 1. anyone can easily start a company 2. anyone can easily make a profit from hard work 3. the government decides the jobs of its citizens and what’s for sale 4. traditional foods are gathered.

3. the government decides the jobs of its citizens and what’s for sale

way in which a nation uses its resources to satisfy people’s needs and wants 1. supply and demand 2. scarcity 3. GDP 4. market economy

1. supply and demand

economic system that has features of traditional, command and market systems 1. market 2. mixed 3. command 4. traditional

2. mixed

exchange of goods and services between countries 1. import 2. export 3. trade barrier 4. international trade

goods and services traded with or sold to other countries 1. scarcity 2. export 3. import 4. trade

2. export

word used to describe conflict between people’s desires (wants) and the limited amount of resources 1. scarcity 2. export 3. import 4. trade

1. scarcity

goods brought into country from another country through trade or sale 1. scarcity 2. export 3. import 4. trade

3. import

allows business owners to compete in market with little government control (owner decides everything about business- capitalism 1. market 2. mixed 3. command 4. traditional

1. market

total value of the goods and services produced in a country during a given period of time 1. economic growth 2. capital goods 3. investment 4. GDP

4 GDP

When a government limits free trade between countries (embargo, tariff, quotas). Can also be a physical feature (ex. Mountains) or wars, weather, etc. 1. scarcity 2. export 3. import 4. trade barrier

someone who brings together labor, land and capital goods to produce goods and services. They take risks to start a business. 1. entrepreneur 2. human capital 3. capital goods 4. natural resources

1. entrepreneur

governmental system in which the central government makes ALL laws for the country 1. confederation 2. unitary 3. autocratic 4. federation

2. unitary

citizens in this type of system have no say in how the government system is run. 1. confederation 2. unitary 3. autocratic 4. federation

3. autocratic

government led by king or queen. 1. multi-party system 2. monarchy 3. one-party system 4. democracy

2. monarchy

The United States, Germany and the U.K. are examples of a(n) ______ economic system. 1. Command 2. Market 3. Traditional 4. Democratic

2. Market