Economic Systems Answers

Read the passage below and answer the question that follows. Darice finally has everything she needs to start her pet-grooming business. This is her first business venture, and she is very excited, but a little nervous that it may fail. She opens the door and waits for customers to arrive. Darice is an example of (an) __________. A. employee B. consumer C. entrepreneur D. marketing advisor Please select the best answer from the choices provided

As a factor of production, land best refers to __________. A. the ground not covered by water B. land owned by businesses C. all natural resources D. farming soil only Please select the best answer from the choices provided

Command economies produce goods that __________. A. consumers demand B. the government thinks are best C. were produced in the past D. producers believe are necessary Please select the best answer from the choices provided

Which of the following situations is the best example of a negative consequence? A. Aaron missed the school bus because he decided to snooze after his alarm clock went off. B. Bryce was a starter in Friday night’s game because he chose to practice hard after school every day. C. Becky had extra energy to help her mom with dinner because she chose to jump rope for a half hour. D. Trisha was spared a lecture on personal responsibility because she decided to clean her room without being asked. Please select the best answer from the choices provided

Read the passage below and answer the question that follows. The manager of a company told all employees that anyone who worked on Saturday could attend a family barbeque paid for by the company. Twelve additional people decided to volunteer their time. The manager provided a(n) __________ for all employees willing to work on Saturday. A. cost B. incentive C. opportunity cost D. negative consequence Please select the best answer from the choices provided

Read the sentence below and answer the question that follows. Having extra money is a benefit of working after school. The word underlined in the sentence above is best defined as __________. A. a positive consequence B. the best alternative given up C. something given up as the result of a choice D. the motivation for choosing one alternative over another Please select the best answer from the choices provided

Something that is given up as the result of a choice is referred to as __________. A. a cost B. scarcity C. a shortage D. a decision Please select the best answer from the choices provided

What is the main incentive for using a traditional economy? A. profit B. stability C. progress D. economic equality Please select the best answer from the choices provided

Something that happens as the result of a choice is called a(n) __________. A. incentive B. consequence C. opportunity cost D. factor of production Please select the best answer from the choices provided

What is the main incentive for using a market economy? A. profit B. stability C. security D. economic equality Please select the best answer from the choices provided