Chapter 4 - Economic Systems

Question 0

3 prototypes of economic systems

Answer 0

Traditional system
Command system
Market system

Question 1

It helps the society solve scarcity

Answer 1

Economic system

Question 2

Oldest type of economic system

Answer 2

Traditional system

Question 3

It is another traditional economic activity

Answer 3

Taxation

Question 4

It is stagnant and boring. People resist change and innovations.

Answer 4

Traditional System

Question 5

It operates like an army

Answer 5

Command System

Question 6

This kind of system started from England

Answer 6

Market System

Question 7

A British political economist who stated that, “the key to progress is allowing individuals to pursue their self-interest and to satisfy themselves without government interference as much as possible.”

Answer 7

Adam Smith

Question 8

Individuals are free to do economic matters. They are free to put up their own business.

Answer 8

Market System

Question 9

a rapid increase in prices

Answer 9

inflation

Question 10

a continuing decline in economic activities

Answer 10

recession

Question 11

the effect of an economic activity to a third party

Answer 11

externality

Question 12

what are the 4 political economic theories in the modern era?

Answer 12

capitalism
socialism
communism
fascism

Question 13

it is a society based on the private ownership of resources and means of production which are concentrated in the hands of capitalists

Answer 13

Capitalism

Question 14

they are the business owners

Answer 14

Capitalists

Question 15

The french word for the policy, “the government has no role in it except to maintain peace and order and to guarantee national security.”

Answer 15

Laissez-faire

Question 16

It advocates State ownership of means of production

Answer 16

Socialism

Question 17

a perfect society that harnesses the full potentials of the people

Answer 17

utopia

Question 18

A French Socialist who suggested the formation of model communities

Answer 18

Charles Fornier

Question 19

These are cooperative communities in which everyone would work according to their abilities

Answer 19

phalanxes

Question 20

Two main forms of socialism

Answer 20

Reform

Revolutionary

Question 21

it calls for the gradual transformation of the economy from capitalism to a system of worker or State ownership of the means of production

Answer 21

Reform Socialism

Question 22

Two young German political economists in the nineteenth century who wrote “The Manifesto of the Communist Party”

Answer 22

Karl Marx

Friedrich Engels

Question 23

A Latin word which Fascism was originated from

Answer 23

fasces

Question 24

An Italian who was the first leader to the term fascism to describe his government

Answer 24

Benito Mussolini