Question 1

The four features of ideal capitalism are private ownership of production, pursuit of individual profit, limited government intervention, and competition.

Accepted Answer

These are the key characteristics of ideal capitalism, emphasizing private ownership, profit motive, minimal government role, and competitive markets.

Question 2

No economy is purely capitalist or purely socialist.

Accepted Answer

Most economies are mixed, incorporating elements of both capitalism and socialism to varying degrees.

Question 3

Governments by definition have legal and political authority.

Accepted Answer

Governments are established to exercise legal and political authority over a specific territory and its population, making and enforcing laws and policies.

Question 4

A mixed economy combines elements of both capitalism and socialism.

Accepted Answer

A mixed economy incorporates aspects of both capitalism, such as private enterprise, and socialism, such as government intervention and public services.

Question 5

Most shareholders in transnational corporations have control over where plants are located, how much employees are paid, and how the environment is protected.

Accepted Answer

Most shareholders do not have direct control over operational decisions such as plant locations, employee wages, or environmental policies; these decisions are typically made by the company's management and board of directors.

Question 6

A person may sit on the board of directors of two corporations simultaneously, even if the corporations are in direct competition with each other.

Accepted Answer

The answer of A person may sit on the board...

Question 7

Political action committees (PACs) are grassroots organizations that provide support for local politicians based on specific community issues.

Accepted Answer

PACs are organizations that collect and distribute campaign funds to support or oppose political candidates, legislation, or ballot initiatives, often representing business, labor, or ideological interests, rather than grassroots community issues.

Question 8

Most experts believe the United States will always have an active military-industrial complex because of its emphasis on militarism-a societal focus on military ideals and an aggressive preparedness for war.

Accepted Answer

The United States has historically maintained a strong military-industrial complex due to its focus on national security, global influence, and defense readiness, which aligns with militaristic ideals.

Question 9

Politics is the social institution through which power is acquired and exercised by certain individuals or groups.

Accepted Answer

Politics involves the processes and structures through which power and authority are distributed and exercised in society, often by individuals or groups.

Question 10

According to the text, the three major economic systems present in modern societies are capitalism, communism, and mixed economies.

Accepted Answer

The answer of According to the text, the three major...

Question 11

Which of the following best defines politics?

Accepted Answer

Politics is primarily concerned with the acquisition and exercise of power by individuals or groups within a society.

Question 12

Which of the following best defines economy?

Accepted Answer

The answer of Which of the following best defines economy?
...

Question 13

Which of the following best defines political economy?

Accepted Answer

Political economy refers to the interconnectedness and mutual influence of political and economic systems, rather than viewing them as independent entities.

Question 14

According to the text, the three major economic systems present in modern societies are

Accepted Answer

Capitalism, socialism, and mixed economies are commonly recognized as the three major economic systems in modern societies.

Question 15

The economic system characterized by public ownership of the means of production, the pursuit of collective goals, and centralized decision making is known as

Accepted Answer

Socialism is an economic system where the means of production are owned publicly or collectively, and decisions are made centrally to achieve collective goals.

Question 16

Which of the following best defines primary sector production?

Accepted Answer

The primary sector involves the extraction and harvesting of natural resources, such as agriculture, mining, forestry, and fishing.

Question 17

Which of the following best defines secondary sector production?

Accepted Answer

The secondary sector involves the transformation of raw materials into finished goods, which includes manufacturing and industrial production.

Question 18

Tertiary sector production is

Accepted Answer

The tertiary sector involves the provision of services rather than the production of goods, distinguishing it from the primary and secondary sectors.

Question 19

Primary sector production is mainly found in which type of economy?

Accepted Answer

Primary sector production, which involves the extraction of natural resources, is mainly found in preindustrial economies where agriculture, mining, and fishing are predominant activities.

Question 20

A large-scale business organization that is headquartered in one country but operates in many countries is known as a

Accepted Answer

A transnational corporation is a large-scale business organization that is headquartered in one country but operates in multiple countries.

Quiz 13: Problems in Politics and the Global Economy