Lesson 1.4: Types of Economic Systems

In which economic system is the economy COMPLETELY controlled by the government?

• capitalism

• socialism

• communism

• anarchism

In which economic system do private individuals and government SHARE control of the economy?

• capitalism

• socialism

• communism

• anarchism

In which economic system do private individuals control the economy?

• capitalism

• socialism

• communism

• anarchism

Minimum wage laws and product-labeling laws would likely be found in which form of capitalism?

• laissez-faire capitalism

• mixed economy

• anarcho-capitalism

• feudalism

In this form of capitalism, the government adopts a "hands-off" policy toward the economy.

• laissez-faire capitalism

• mixed economy

• anarcho-capitalism

• feudalism

Who is known as the father of capitalism, whose 1776 book "The Wealth of Nations" advocated laissez-faire theory?

• Karl Marx

• Adam Smith

• John Maynard Keynes

• F. A. Hayek

Who is known as the father of modern socialism and communism, who believed that capitalism should be overthrown through violent revolution?

• Karl Marx

• Adam Smith

• John Maynard Keynes

• F. A. Hayek

The process of converting a business or industry from government ownership to private ownership is:

• collectivization

• privatization

• openness

• restructuring

The process of converting a business or industry from private ownership to government ownership is:

• collectivization

• privatization

• openness

• restructuring

Which of the following refers to a situation in which one business has total control of a product or service and can charge any price for it?

• collectivization

• monopoly

• free market

• capital