Econ & Govt Test Review Flashcards
What are three basic questions that every economic system must answer?
What goods/services are produced? How will they be made? Who will consume them?
What are three economic systems?
Traditional, Market, and Command
The former Soviet Union was an example of what kind of economic system?
Command
Which economic system allows for the most individual freedom?
Market
In which economic system does the government have the most control?
Command
In which economic system do individuals do things based on customs and beliefs?
Traditional
What’s the economic system of communist countries?
Command
How do traditional economies change goods?
Bartering
Which country is close to a true market economy?
United States
Most democratic countries have which type of economic system?
Market
The government makes ALL economic decisions.
Command
In this system, your parents were peanut farmers, now you have to be one too.
Traditional
Cuba is close to having this type of system
Command
Business (Ran by private citizens) determine what goods/services Are produced and how they will be made
Market
Which economic system uses bartering instead of money?
Traditional
