Economics Chapter 2

Command economy

Central authority

What economy offers uniformity in wages regardless of individual productivity?

Command and Socialist

A classes society in which everyone works for the common good describe what kind of society?

Communism

List some disadvantages of a market economy

Does not provide for everyone, no basic goods, high uncertainty

List some advantages of traditional economy?

Everyone knows their role

Communist countries like North Korea and Cuba are examples of mixed economies

False

Mixed economies work to the degree that they can embrace democracy

False

Socialist economies include aspects of both command and free-enterprise systems

False

Socialism

Government owns some factors

The principle of "TNSTAAFL" is illustrated in a socialist economy because they have...

High taxes

Scarcity

Lack of resources

List some disadvantages of command economy

Leaders provide for themselves at the expense of general population

What type of economy is most used in the world today?

Mixed

Why did Sweden move from socialism to a more mixed economy in the 1980s?

People objected height taxes

Traditional economy

Ritual, habit, or custom

Market economy

Supply and demand

Mixed economies can evolve when societies with different kinds of economies interact

True

There is always some degree of government involvement in a mixed economy

True

Karl Marx believed who would be the beneficiaries of socialism?

True working class/workers

What are some examples of a move away capitalism?

Venezuela