Workers on an assembly line are an example of
How does the activity in this image represent specialization?
New e-commerce businesses, including companies like eBay, focus on voluntary exchange. Which generalization BEST describes this type of commerce?
If two people are packing and delivering food, what is the most efficient way to do the job?
In what way does specialization increase productivity?
Although specialization increases productivity, one disadvantage is
"Ryan tells Ty that he will give him his best Pokemon card in exchange for Ty's autographed baseball card. Ty feels this is a fair trade. However, when Ryan trades with Ty, Ryan gives him his second best Pokemon card instead."
Why was this trade not beneficial for both parties?
"Joe has purchased a new bike for $500. The taxes on the bike add another $30 to the total, making his final cost $530."
In this situation, the taxes paid by Joe are an example of
What is the primary purpose of job specialization?
In markets both parties are better off when they engage in voluntary, non-fraudulent exchange. What is the role of government in promoting such exchange?
Even though Australia has great economic freedom, the government requires some products to meet safety and manufacturing standards. This means that overall Australia's economy can BEST be classified as a
Which nation's economy could be best described as a command economy, where the government determines guidelines for economic development and sets goals for economic production?
"Canada has a universal healthcare system, providing government-funded medical services to all citizens. However, the vibrant private sector helps to push an economy that is one of the world's most successful. Intense and frequent trade with the United States provides the country with great wealth."
These facts provide evidence that Canada has a
Approximately 50% of Iran's economy is planned by the nation's government, while in Israel that percentage is just over 10%. Which statement would MOST likely be true given this information?
"Brazil trades with the United States more than it does with any other country. Industrially, the private sector has made Brazil one of the most advanced countries in Latin America, with massive investment taking place since 1996. Still, over 1 million people live in state-owned housing and millions more are covered by government operated health care."
These facts show that Brazil has a
Despite a severely low amount of natural resources, Japan has a thriving economy. This is largely due to the freedom Japan's economy has had to explore and develop new technology. Such freedom is found in which type of economic system?
Which country has the GREATEST degree of a command economy?
Under which economic system would factors of production MOST LIKELY be owned by the government?
Which of these is a correct description of one of the ways in which a command economy differs from a market economy?
In which kind of economy are prices determined by supply and demand and by government actions?
In which kind of government are prices determined solely by supply and demand?
In which kind of economy are prices determined solely by the government?
The following statements BEST describes which type of economy: "the way things have always been"?
Freedom to own the factors of production, subsidized transportation services, and involuntary spending and investments are all examples of
In Cuba, a lottery system effectively decides who gets to purchase a car. Why would someone favor a lottery system over a price system in obtaining a desired item, such as cars?
Why is the price system a more efficient system for allocating scarce resources than by authoritarian means, such as in command economies?
In this type of economic system, the production of goods and services is controlled solely by the concept of supply and demand, businesses are operated for profit, and the government is not involved.
What fundamental question relates most directly to consumer sovereignty?
The command systems of the Soviet Union and eastern Europe failed in mostly because
"The country of South Africa has a growing economy that is one of the best in Africa. South Africa's annual GDP growth rate is almost 3%. Many private businesses are flourishing in the country. South Africa produces the majority of Africa's electricity. However, one of the major threats to South Africa's economy is the shortage of electricity to all areas of the country. Fortunately, the government of South Africa is presently addressing the problem by constructing and financing new electric power stations."
What kind of economic system does South Africa have?
Consumer sovereignty assumes that which fundamental statement in a market economy is true?
In a command economy, how is it determined what goods and services will be produced?
Which statement is a PRIMARY characteristic of a capitalist system?
In 1776 with An Inquiry into the Nature and Causes of the Wealth of Nations, Adam Smith challenged the prevailing belief in mercantilist policies. The characteristic of capitalism that buyers and sellers will freely and willingly exchange in market transaction is called
How might the purchase decisions of consumers impact a market economy?
When an individual specializes to produce one good, and then acquires additional desired goods from other specialists,
In a command economy, how are the prices of goods and services determined?
Communism and socialism are usually found in what type of economic system?
In a market economy, prices are established by
In capitalist economies, prices are
Why is the consumer considered "king" in a capitalist economy?
How do private property rights encourage individuals to work, save, and invest?