Economics Chapter 2 Vocabulary Quiz

Economic Systems

• Socialism: Government owns and controls some production factors.
• Market: A mechanism where buyers and sellers interact to exchange products or services.
• Mixed Economy: A combination of traditional, command, and market economies coexisting.

Historical Context

• Great Depression: A severe economic decline in U.S. history from approximately 1929 to 1939.

Political and Economic Systems

• Communism: The state owns and directs all factors of production, merging economic and political systems.
• Collectivization: Involves the forced common ownership of production factors.

Economic Mechanisms

• Voucher: A certificate used for purchasing government-owned property during privatization efforts.
• Capital-Intensive: Refers to industries or sectors that require significant capital investment compared to labor.

Demographics and Organizations

• Population Density: Measurement of the number of people living per square mile of land.
• European Union (EU): Established in 1993, it succeeded the European Coal and Steel Community, promoting economic integration among member states.

Test your knowledge of key vocabulary from Chapter 2 on Economic Systems and Decision Making. This quiz includes definitions of terms like socialism, market, and mixed economy to help reinforce your understanding of these concepts.