Government
In a democracy, who holds the power?
The people and their elected representatives.
Why do countries specialize?
They specialize in goods and services they can produce at a lower opportunity cost or more efficiently than other countries.
What is one of the main ways citizens participate in a democracy?
Voting.
What are the three basic economic questions every country must answer?
What to produce? How to produce? For whom to produce?
What does GDP measure?
The total market value of the goods and services produced by a country in a specific year.
Name two ways citizens can participate in a democracy besides voting.
Running for political office, petitioning the government, or expressing opinions through media/social media.
Name one benefit of specialization.
Increased production, lower production costs, or more efficient use of resources
In a representative democracy, who makes laws for the people?
Elected representatives.
Which economic system is based on customs and values passed down from generation to generation
Traditional economy.
Name the four types of productive resources.
Natural resources, human capital, capital goods, and entrepreneurship.
What is the difference between direct democracy and representative democracy?
In a direct democracy, citizens vote directly on laws and decisions. In a representative democracy, citizens elect leaders who make laws for them.
What is a tariff?
A tax placed on imported goods.
What is another name for a representative democracy?
A republic.
Which economic system relies on strict government control and regulations?
Command economy.
How can education and training help a country's economy?
They create a more skilled workforce and can improve GDP and standard of living.
In an autocracy, who has the power?
One leader or political party has unlimited power.
What is a quota?
A limit on the quantity of an item brought into a country.
In a parliamentary democracy, are the executive and legislative branches separate or fused?
Fused together.
Which economic system is based on supply and demand?
Market economy.
What is an entrepreneur?
A person who takes the risks necessary to start a new business.
What is one major difference between a democracy and an autocracy?
Democracies give citizens opportunities to participate and protect their rights and freedoms, while autocracies give citizens little or no role and often limit their rights and freedoms.
What is an embargo?
A ban on trade with a specific nation or group of nations.
In a presidential democracy, what does the separation of powers help create?
A system of checks and balances
What is a mixed economy?
A blending of command and market economies.
Give two ways entrepreneurship can help an economy grow.
Entrepreneurs develop new products, open new businesses, create jobs, and bring creativity/fresh ideas to the market.