Types of Economic Systems Assignment

What economic system is used in the United States?

• Traditional
• Free Enterprise
• Communism

What term describes someone who starts their own business?

• Customer
• Employee
• Entrepreneur

Which economic system aims for equal distribution of resources?

• Traditional
• Free Enterprise
• Communism

What is a common issue in North Korea's communist economy?

• Too much competition between businesses
• Too many new businesses start each year
• Customer choices are limited

In a free enterprise system, what encourages companies to improve their products?

• Government rules
• Equal distribution of resources
• Traditional methods of making items
• Competition between businesses

What is a benefit of the U.S. free enterprise system?

• Everyone has the same amount of wealth
• Potential to earn money
• Government ownership of businesses

In a communist economy, who decides what goods are produced?

• The Government
• The People
• Business Owners
• Teachers

What activity is common in traditional economies?

• Computer technology
• Professional sports
• Farming
• Gaming

A feature of the free enterprise economic system in the United States is that it-

• Guarantees equal distribution of goods and resources.
• limits the amount of money an entrepreneur can earn.
• restricts factory ownership to the government.
• allows people to own private property.

How is North Korea's economy different from the U.S. economy?

• In North Korea, competition among businesses gives more choices to shoppers.
• In North Korea, the government controls most industry and there is little private property.
• In North Korea, the government exercises less control of the economy.
• In North Korea, individuals have opportunities to own their own businesses and create wealth.