reveiw For Chapter 2&3

Question 0

Externality

Answer 0

A for outside of the market that will impact the market in either a positive or negative fashion

Question 1

Adam Smith

Answer 1

Free Market Philosopher

Question 2

Temporary Assistance for Needy Families

Answer 2

The federal govt gives money to the states who determine how it will be redistributed to those in need
To receive this money:
Establish work incentives
Limit on benefits

Question 3

Command system

Answer 3

Central govt makes all economic decisions on goods

Question 4

Traditional Econ

Answer 4

Relies on traditional custom, habit, or ritual to decIDE ?s of consumption and production of goods and services

Question 5

Welfare

Answer 5

Govt aide to the poor

Question 6

What goals best promoted by a free market system

Answer 6

Efficiency and specialization

Question 7

Public disclosure laws

Answer 7

Companies provide full info about products

Question 8

Safety net

Answer 8

Govt programs to protect individuals experiencing unfavorable economic conditions

Question 9

Collective

Answer 9

Large soviet farm leased by the state to peasant farmers

Question 10

What is most difficult to get in a free market economy?

Answer 10

Econ equity

Question 11

What country I the most communist?

Answer 11

North Korea