#1
Which of the following is a characteristic of a traditional economic system?
Government control of economic decisions
Private ownership of resources
Customs and traditions dictate economic activities
Market competition determines production
#2
In a command economy, who typically makes decisions regarding resource allocation?
Individual consumers
Government authorities
Business owners
Community leaders
#3
Which of the following countries best exemplifies a market economy?
United States
Cuba
North Korea
Saudi Arabia
#4
What is a primary goal of a socialist economic system?
Maximizing individual profit
Achieving income equality
Promoting free market competition
Privatizing state-owned enterprises
#5
Which economic system is most closely associated with the concept of 'From each according to his ability, to each according to his needs'?
Market economy
Command economy
Traditional economy
Socialist economy
#6
Which economic system allows for the most efficient allocation of resources according to supply and demand?
Market economy
Command economy
Mixed economy
Traditional economy
#7
Which economic system allows for the greatest degree of individual freedom in economic decision-making?
Market economy
Command economy
Mixed economy
Traditional economy
#8
What is a distinguishing feature of a mixed economic system?
Complete absence of government intervention
No private ownership of resources
Combination of private and government ownership
Strict adherence to traditional customs
#9
Which economic system emphasizes collective ownership of resources and production?
Market economy
Traditional economy
Command economy
Socialist economy
#10
What role does the government play in a laissez-faire economic system?
Directly controlling all economic activities
Intervening minimally in economic affairs
Owning and managing all businesses
Distributing wealth equally among citizens
#11
In which economic system are prices primarily determined by market forces?
Command economy
Mixed economy
Traditional economy
Market economy
#12
Which economist is known for advocating for the role of government intervention in addressing market failures?
Karl Marx
Milton Friedman
John Maynard Keynes
Friedrich Hayek
#13
In economics, what does the term 'invisible hand' refer to?
The role of government in regulating markets
The influence of market forces in guiding economic activity
The concept of bartering in pre-market economies
The idea of universal basic income
#14
According to classical economists like Adam Smith, what is the primary driver of economic growth?
Government intervention
Technological innovation
Individual self-interest
Collective decision-making
#15
Which economic system is characterized by a lack of private property rights and central planning by the government?
Market economy
Mixed economy
Traditional economy
Command economy
#16
Which economist is associated with the concept of the 'production possibilities frontier'?
John Maynard Keynes
Milton Friedman
Adam Smith
Paul Samuelson
#17
According to classical economists, what is the primary function of prices in a market economy?
To allocate resources efficiently
To regulate government spending
To control inflation
To determine wages