Review Chapter 2 and 18
Test Friday September 4th, 2009
Bring a pencil with you for the test tomorrow!
1. Capitalism
2. Command economy
3. Economic system
4. Fixed Income
5. Full Employment
6. Inflation
7. Mixed Economy
8. Modified private enterprise economy
9. Private Property
10. Profit motive
11. Social Security
12. Traditional economy
13. Voluntary exchange
14. Refusing a job applicant on the basis of race, gender, age, or any other reason is
______________________.
15. What does the American government protect consumers against? (Hint: look at
the characteristics of a free enterprise and capitalism)
16. Government agencies make choices in a ___________________economy.
17. What are the advantages of a market economy?
18. People on a _______________________ are affected the most when inflation
happens.
19. What power do consumers have in the market?
20. Identify the seven economic and social goals. What category does minimum
wage fall into?
21. Consumers determine the production of product in a ________________
economy.
22. What is the role of the government in a command economy?
23. What are the benefits of Entrepreneurships?
24. Which characteristic of capitalism encourages people to work, save, and invest?
25. When CHANGE happens, what advantage does a market economy have over a
command economy?
26. Who is the “father” of communism?
27. Who led the Bolsheviks in the Russian Revolution of 1917?
28. What are the advantages workers have in a command economy?
29. Stalin’s _____________________ wanted rapid industrialization in Russia. What
was the plan called in China?
30. Which Soviet leader encouraged privatization?
31. What problems will command economies face when transitioning to a market
economy?
32. What is one of the most remarkable phenomena’s of the late 20th century (in
economics)?
33. Under _______________ property is collectively owned. (communism, socialism,
or capitalism)
34. What are the advantages of socialism?
35. The United States is a mixed economy. Which two economic systems are
“combined” to create a mixed Economy?
36. Identify the following countries as Traditional, Command, or Market/mixed
a. North Korea
b. China
c. Inuit
d. Mexico
e. Poland
f. Hong Kong
g. Taiwan