The Market Economy (Grade 11 NSC Matric Economics): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
What is another name for a market economy?
What is another name for a market economy?
Free market system
In a market economy, who answers the three fundamental economic questions?
In a market economy, who answers the three fundamental economic questions?
Buyers and sellers in marketplace
What is the most important driving force in a market economy?
What is the most important driving force in a market economy?
Desire to generate highest profits
Which factors of production are privately owned in a market economy?
Which factors of production are privately owned in a market economy?
Land, labour, capital, entrepreneurship
What role does government play in a market economy?
What role does government play in a market economy?
Minimal role, basic services only
Which advantage relates to competition forcing businesses to use resources wisely?
Which advantage relates to competition forcing businesses to use resources wisely?
Efficient production
What does the profit motive encourage in a market economy?
What does the profit motive encourage in a market economy?
Innovation and technological progress
What is a major disadvantage regarding income in a market economy?
What is a major disadvantage regarding income in a market economy?
Uneven distribution and inequality
What happens when the market economy doesn't operate efficiently on its own?
What happens when the market economy doesn't operate efficiently on its own?
Market failure occurs
What do business cycles in a market economy consist of?
What do business cycles in a market economy consist of?
Periods of growth followed by recessions