Micro test2

Micro test2 - Test 1)

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Test 1 ) The chief economic virtue of the competitive market system is that  it (5pts) allows extensive personal freedom promotes the efficient use of resources + provides an equitable distribution of income eliminates the need for decision making 2 ) The ownership of property resources by private individuals and  organizations is the institution of private (resources,  property)_____________. The freedom of private businesses to obtain  resources and use them to produce goods and services is the freedom of  (choice, enterprise)_______________, while the freedom to dispose of  property or money as a person sees fit is the freedom of  ______________. (5pts) property - enterprise - choice Max Characters: 400 3 ) The advent of personal computers and word processing software  that eliminated the market for electric typewriters would be an example of   (5pts) specialization derived demand the "invisible hand" creative destruction + 4 )
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In capitalism, property resources are primarily (publicly,  privately)____________ owned. The means used to direct and cooridinate  economic activity (is central planning, are markets and  prices)________________.  (5pts) privately - are market and prices Max Characters: 400 5 ) The command system and the market system differ in two important  ways. Compare and contrast the two economic systems. (5pts) Command system is an economic system in which most property  resources are owned by the government and economic decisions are  made by a central government body.
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This note was uploaded on 12/01/2011 for the course ECON 1023 taught by Professor Kent during the Spring '11 term at ASU.

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Micro test2 - Test 1)

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