Types of Economic Systems
How many types of economic systems are there?
Four
Which factor of production refers to human effort used to produce goods and services?
Labour
What are the factors of production?
Land, labour, capital, entrepreneurship
Unlimited needs and limited resources.
What type of economy is characterized by private ownership of resources and businesses, and prices determined by market forces?
Market Economy
Land
Which factor of production involves the ability to innovate and take risks in starting businesses?
Entrepreneurship
Adopting more liberal values is a __________
Shift Left
What type of economy is based on long-standing norms and cultural values?
Traditional Economy
The use of machines, tools, and buildings to produce goods is an example of which factor of production?
Capital
What is the term for the price at which the quantity demanded equals the quantity supplied?
Equilibrium Price
Janitorial staff refusing to work in order for better pay and working conditions is an example of a _____
Strike
Sweden is an example of a _____ economy
Mixed
What are the two different types of capital? Explain both.
Physical capital - machinery, tools, infrastructure
Financial capital - loans, savings, investments
The ____ curve slopes upward, from left to right.
Supply
What is a monopoly? Provide an example.
When one company controls and dominates an industry. Amazon, Apple, Samsung
Which economy is focused on meeting your basic, foundational needs as a human being?
Traditional Economy
What factor of production do customers fall into?
They are not included in any factor of production.
If I am a business owner and no one wants to purchase my products, what are three things I can do to change this?
Decrease prices
Increase quality of product
Better promotion and advertisement
Compete and compare with monopoly brands
What is an economic system?
Relating to the production, consumption, and distribution of goods and services - how economies respond to scarcity