In a democracy, from where does the power to govern derive?
A.
hereditary rights
B.
ownership of the land
C.
the claim to divine right
D.
the people being governed
D. the people being governed
Read the text and answer the question.
In Country X, the factors of production are all publicly owned and controlled by the government. The basic economic questions of what to produce, how to do so, and how to distribute goods are determined by Country X's government and not by market forces. Because they are set by central planners, prices do not signal to producers whether to increase or decrease production.What kind of economy does Country X have?
A.
The government's role in setting the prices of goods shows that Country X has a market economy.
B.
The government's ownership of the factors of production shows that Country X has a market economy.
C.
The government's encouragement of entrepreneurship shows that Country X has a command economy.
D.
The government's control of the factors of production shows that Country X has a command economy.
D. The government's control of the factors of production shows that Country X has a command economy.
Which barrier to trade blocks all trade between nations?
A.
an embargo
B.
a tariff
C.
a quota
D.
a sanction
A. an embargo
Country A charges a 35% tax on automobiles imported into the country. This is an example of
A.
a tariff.
B.
a quota.
C.
an embargo.
D.
a specialization.
A. a tariff.
How do governments invest in capital goods?
A.
by providing free medical care for all of their citizens
B.
by providing housing assistance for all of their citizens
C.
by giving tax breaks to companies that protect the environment
D.
by giving tax breaks to manufacturers that update their machinery
D. by giving tax breaks to manufacturers that update their machinery
Match each type of barrier to trade to its effect.
blocks all trade with another country
taxes certain classes of imported or exported goods
limits the volume of goods imported from a foreign country
tariff quota embargo