3.2 Quiz

An __________ is a risk-taking individual in search of profits.

In a market, the __________ is the ruler by determining the goods and services produced.

An economic system with a combination of command, traditional, and market economies is known as a __________.

The national government plays the role of __________ by preserving marketplace competition.

An entrepreneur acts as __________ and spark plug, stimulating activity among forces or people.

The phrase “the customer is always right” is most often associated with what term?

• entrepreneurship

• consumer sovereignty

• mixed economy

• regulatory government

In its role as a regulator, what is the government’s primary responsibility?

• It takes a “hands-off” approach to business.

• It tells businesses what to produce and what to sell.

• It interferes with business only when it is profitable.

• It establishes laws and rules to maintain competition.

In its role as protector of the American free enterprise system, one of the issues the government must deal with is ________.

• environmental hazards

• weeding out corruption

• helping businesses get started

• overseeing communications

Who ultimately determines the success of a product?

• the government

• the business producing the product

• the consumer

• the store selling the product

Consumers can influence the production and sale of goods by ________.

• “voting” with their dollars

• saving their money

• reducing their spending habits

• paying off their debt