Economics Unit 2 Test
Study Guide
Review Vocabulary:
Define economics
Three economic questions
The difference between a factor
market and a product market
Mixed Economy
Production
Distribution
Consumption
Household
Firm
Laissez Faire
Capitalism
Voluntary exchange
Private property
Competition
Regulation
Free Enterprise
Economic freedom
Ch 18 Vocab
Collectivization
Central planning
Privatization
Black market
Production quota
Closed economy
Things to Know:
Advantages and Disadvantages of a Command Economy
Advantages and Disadvantages of a Market Economy
How household and firms are related to the economy
Economic system spectrum
Characteristics of Capitalism
The 4 roles of the government in a capitalistic system
Questions to have answers to:
Compare what economic freedom means for businesses versus individuals.
Compare and contract the economies of two countries you learned about during the
presentations (you can use your own)