Economic Principles and Government Roles

The video explores the concept of a free market, questioning its existence and discussing historical and modern examples. It highlights Adam Smith's influence and the role of protectionist policies in the economic growth of countries like England, the U.S., Japan, and China. The video concludes that while free-market principles are popular, government intervention is crucial for economic stability and growth.

Who is considered the father of Classical Economics and introduced the concept of a free market?

• Karl Marx

• Milton Friedman

• John Maynard Keynes

• Adam Smith

What was the primary purpose of the Navigation Acts implemented by England?

• To encourage foreign investment

• To reduce tariffs on imported goods

• To protect English shipping and commerce

• To promote free trade

Which Founding Father of the United States was a key proponent of protectionism?

• Alexander Hamilton

• Benjamin Franklin

• George Washington

• Thomas Jefferson

Which country implemented industrial policies focusing on exports and protecting domestic industries after World War II?

• Germany

• Japan

• India

• Brazil

What strategy did South Korea pursue to drive its economic miracle?

• Agricultural expansion

• Export-oriented development

• Import substitution

• Tourism promotion

Which city-state achieved rapid economic growth through a combination of state intervention and free-market principles?

• Monaco

• Dubai

• Singapore

• Hong Kong

What significant economic shift did China undergo starting in the late 1970s?

• From an agricultural to an industrial economy

• From a protectionist to a free-market economy

• From a centrally planned to a more market-oriented economy

• From a market-oriented to a centrally planned economy

Which of the following countries is known for having a relatively free market and business-friendly environment?

• Venezuela

• Cuba

• North Korea

• Hong Kong

What does the term 'laissez-faire' imply about government intervention in the economy?

• Government subsidies for all industries

• No government intervention

• Complete government control

• Limited government regulation

What role do governments play in shaping economies according to the video?

• They correct market failures and design business climates

• They only set taxes

• They only regulate monopolies

• They have no role