Economic Systems Quiz 44 (20 MCQs)

Quiz Instructions

Select an option to see the correct answer instantly.

1. This person wrote "The Wealth of Nations" and believed the government should have a limited role in business.

Correct Answer: B) Adam Smith.

2. North Korea has a

Correct Answer: B) Command economic system.

3. (1) ..... Interaction of supply and demand Profit Incentive Entrepreneurs Which title goes in the blank above?

Correct Answer: B) Characteristics of a Free Enterprise Economy.

4. This system is associated with barter trade and earlier times (before money existed).

Correct Answer: A) Traditional Economy.

5. Which of the economies tends to be the most "equitable" ?

Correct Answer: B) Command.

6. The amount of a good or service available to buy is called

Correct Answer: A) Supply.

7. What type of economic system does Canada have?

Correct Answer: C) Mixed.

8. Which economic system would be the worst for competition between producers?

Correct Answer: A) Traditional.

9. Which of the following is an economic system in which some businesses and industries are controlled by the government?

Correct Answer: C) Socialist.

10. Which economic enterprise would Adam Smith most favor?

Correct Answer: D) Privately owned factory in France.

11. What are the 3 economic questions?

Correct Answer: A) What to produce? How To Produce? For whom to produce?.

12. A ..... economy is driven entirely by voluntary exchange in markets

Correct Answer: D) Free Market.

13. The concentration of the productive efforts of individuals and firms on a limited number of activities.

Correct Answer: A) Specialization.

14. To trade goods

Correct Answer: B) Barter.

15. Which trade barrier discourages trade by placing a tax on foreign goods?

Correct Answer: A) Tariff.

16. In what type of political system does the government control every aspect of society?

Correct Answer: D) Authoritarian.

17. Choose the correct examples of a quaternary activity.

Correct Answer: D) Research and data processing.

18. In this economic system, the government usually provides environmental protections, employment standards, and welfare:

Correct Answer: D) Mixed.

19. Which economic system allows the individual to answer the 3 economic questions?

Correct Answer: B) Market.

20. How does a 'command economy' work?

Correct Answer: B) The government controls all 'economic transactions'.