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economic systems
economy
Question | Answer |
---|---|
What questions must an economic system answer? | What to produce?how to produce it?For whom to produce? |
Who owns the resources in a traditional economy? | All members of the economy. |
Who keeps the profits in a traditional economy? | no money profits: goal is to survive |
Who controls everything in a command economy? | government |
What is bartering? | trade one good for another. |
Who owns the resources in a market economy? | The people. |
What is capitalism? | Economy where private owners control goods and profits. |
How many market economy are there? | 0 |
Which two economic terms go together? | supply and demand |
Who sets the equilbrium point? | market forces |
What is a mixed economy? | A combination of command and market |
What is the GDP? | The total amount of products produced. |
What is a human resource? | People who perform labor. |
What are capital goods? | Items that people need to perform their job. |
What are natural resources? | resources from nature. |
What are entrepreneurs? | people who take risks to start a business. |
What is standard of living? | How well people live. |
What is literacy rate? | Percentage of people who can read and write in a country. |
What is opportunity cost? | Value of what is given up when a choice is made. |
What is specialization? | Producing or providing a service that you are good at. |
What are some natural resources? | Air water |
What is currency? | Money |
What are the three ways people can invest in human capital? | Training,Education,Healthcare |