Economic System

Which of the following is the correct definition of 'Economic System'?

• The actors who intervene in the economy under certain rules determined by the economic system and economic institutions

• The way in which an economic is organised and run (incl. alternative views of how scarce resources are best allocated)

• An economic term used to describe a part of the economy whether they are owned and controlled by individuals or private organisations or by the government

Which of the following is NOT the correct characteristics of the private sector?

• Make their own decisions and how it should be produced

• Main objective is public welfare

• Main objective is to maximise profit

• Not state-owned government

Which of the following are examples of the state-owned companies in Indonesia?

• Xin Zhong

• Mandiri

• PLN

• Hypermart

Which of the following are the examples of private sector companies?

• Pakuwon City

• BNI 46

• Bank Permata

• Pertamina

1) buy goods and services; 2) provide labour - which economic agent?

• Household

• Firms

• Government

• Central Banks

1) provide rules & regulations; 2) Employ factors of production; 3) Demand taxes from other economic agents

• Households

• Firms

• Government

• Central Banks

1) Produce goods and services; 2) Employ factors of production; 3) the goal is to maximise their profits

• Household

• Firms

• Government

• Central Banks

This economic system relies on the market forces of demand and supply to allocate resources with minimal government intervention in which the businesses are given the freedom to pursue profit.

• Market economy

• Planned economy

• Mixed economy

The other name for this economic system is Command economy which closely associated with socialism and/or communism political system(s).

• Market economy

• Planned economy

• Mixed economy

Indonesia is a country that adopts which economic system?

• Market economy

• Planned economy

• Mixed economy