50 total marks Due: Friday, February 18th,2013
Use your notes and text book (pages 2- 25)
Economics assignment Chapters 1 & 2
1.List the 5 physical wants.
What is another term that means physical wants?
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2. Define psychological wants and give 2 examples of a psychological want.
/2
3. a) Is poverty a scarce item, economically speaking? Explain why or why not. /2
b) Is poverty a scarce item in a wealthy neighbourhood, economically speaking?
Explain why or why not. /2
4. Define resources and list the three types. /4
5. When is there scarcity? (see page 3) /2
6. What is the opportunity cost if you want a DVD, a taco and a dog but when you choose, you
take the DVD over the dog? /1
7. Define: Economics
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8. Name the following as a good or a service:
/5
a) an apple
d) an air plane trip
g) a tooth extraction
b) a car
e) electricity
h) a car battery
c) a good education f) a Sting concert
I) a factory
J)hiring a factory to make shoes
9. Do we have a limit to our resources?
Explain why we do or do not?
10. What are the three major economic questions that societies face?
11. List the 5 characteristics of the pure market economy.
/2
/3
/5
12. Give two CANADIAN examples for each type of economy in terms of societies;
traditional, command and market. /3
13. The Canadian economy is called a mixed or modified market economy. WHY? /2
14. a) Does full employment in Canada mean 100% of people working ? Why or why not? /2
b) In the former Soviet Union, did full employment mean 100 % of the people working?
Why or why not? /2
15. List the four (4) causes of the Soviet Union=s collapse and explain which one, in your
opinion, was most responsible for the collapse.
/5
16. Explain briefly why the former Soviet Union=s focus on economic growth and
industrialization helped lead to its collapse. /2
17. In what types of economies did communist revolutions take place in the world, the exact
opposite of where Karl Marx thought they would.
/1