Chapter 3

Question 1

Market economy

Answer 1

An economics system based on private property and the market in which individuals decide how What and for whom to produce.

Question 2

Allocate

Answer 2

to set apart for a particular purpose; assign or allot:
to allocate funds for new projects.
to fix the place of; locate.

Question 3

Private property rights

Answer 3

The control a private individual or firm has over an asset. Government must enforce laws.

Question 4

Primary debate among economists?

Answer 4

How markets are structured not wether or not to use them.

Question 5

Socialism

Answer 5

An economic system based on individuals good will towards other where society decides what how and for whine to produce. No self interest.

Question 6

When was socialism developed?

Answer 6

1800s

Question 7

Capitalism?

Answer 7

An economic system based on the market in which the ownership of the means of production resides with a small group of individuals called capitalists.

Question 8

How is socialism like a family?

Answer 8

Family’s give extra to those that need it and make things fair everyone contributes what they can and are given what they need.

Question 9

In what three sectors are market economics broken up?

Answer 9

Businesses

Households

Government

Question 10

“Business”

Answer 10

Private producing units in society