Economic Systems Quiz

What is an economic system?

• A way society coordinates the production and consumption of goods and services

• A method of organizing political parties

• A system for managing natural resources

• A type of government structure

How many basic types of economic systems have historically existed?

• Two

• Three

• Four

• Five

What is the significance of the Maasai's tradition in their economy?

• It leads to technological innovation

• It dictates their economic decisions

• It encourages market competition

• It promotes government intervention

What is the highest goal of people in a traditional economy?

• Economic growth

• Economic stability and security

• Technological innovation

• Political power

What was the primary goal of ancient command economies?

• To reduce taxes

• To accumulate wealth and goods for the ruling class

• To promote trade with other nations

• To improve agricultural techniques

What did early rulers impose on society?

• Educational reforms

• Economic choices

• Religious practices

• Cultural traditions

What did early civilizations use vast quantities of human labor for?

• Scientific research

• Building projects

• Artistic endeavors

• Trade negotiations

In what type of economy are economic decisions made voluntarily by individuals?

• Command economy

• Free market economy

• Mixed economy

• Traditional economy

What freedom do individuals have in a market economy regarding employment?

• They must stay with one employer

• They can choose where to work

• They are assigned jobs by the government

• They cannot change jobs

What are individuals encouraged to pursue in a free market?

• Jobs that require minimal skills

• Jobs that maximize their human capital

• Jobs with the highest salary only

• Jobs assigned by the government