Capitalism Communism Socialism

Capitalism, Socialism & Communism

Multiple Choice

What does an economy provide to the people of a country?

• Goods and services

• Land, labor, capital and management

• Money and factories

Multiple Choice

In capitalism, who owns property and businesses -- and keeps the profits?

• individual

• government

• the poor

Multiple Choice

Which of these is a strong incentive to create products and services that capitalists want?

• helping others

• growing wealthy

• being creative

Multiple Choice

What is the purpose of socialism?

• To help the rich remain wealthy

• To reduce the gap between rich & poor

• To let the poor control the economy

Multiple Choice

Why did Karl Marx think communism was better than capitalism?

• Capitalism gave control to government

• Capitalism did not produce enough

• Communism let people share wealth equally

Multiple Choice

How is capitalism DIFFERENT from communism?

• In capitalism, businesses are owned by people.

  
  

  In communism, businesses are owned by the government.

• In capitalism, prices are high.

  
  

  In communism, prices are low.

• It capitalism, people share.

  
  

  In communism, there is a big gap between rich and poor.

Multiple Choice

Which of the following is NOT a factor that caused the rise of socialism during industrial revolution?

• the working class demanded a share in capital

• poor treatment of workers

• concentration of capital and wealth in fewer hands (capitalists)

• increased poverty

Multiple Choice

Where is an economy that is completely capitalist or communist?

• United States

• China

• Great Britain

• No country

Multiple Choice

p’ = s’ (1-Q)

What Marx tried to show with this equation?

• the rate of profit is negatively influenced by rate of surplus (s')

• the rate of profit is positively influenced by organic composition of capital

• organic composition of capital will cause the rate of profit to fall

Multiple Choice

Based on previous slide, What determines the value of labor power (wage)?

• the labor himself

• the market wage

• the capitalist

Open Ended

Why did Soviet Union, which is the world's first Marxist-communist state, fail to survive?