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outlook.office365.com Home | My.NCWC.Edu Mail – Huynh, Thy-Outlook utlook- email and calendar rporation e App Store 20. Two External Conditions that must be present for a market economy to develop are: a. b. c. d. Barter system and government ownership of the means of production Respect for property rights and the use of money Regulation of commerce and caste system Abundance of natural resources and a social safety net 21. Which is not a characteristic of a good that makes it function as a good source of money. a. Durable b. Fungible c. Easily divisible d. Low in demand/not in use as a

outlook.office365.com Home | My.NCWC.Edu Mail – Huynh, Thy-Outlook utlook- email and calendar rporation e App Store 20. Two External Conditions that must be present for a market economy to develop are: a. b. c. d. Barter system and government ownership of the means of production Respect for property rights and the use of money Regulation of commerce and caste system Abundance of natural resources and a social safety net 21. Which is not a characteristic of a good that makes it function as a good source of money. a. Durable b. Fungible c. Easily divisible d. Low in demand/not in use as a practical good 22. Which is NOT a benefit of having money in an economy? Makes exchange occur quickly and easily Serves as a store of wealth Easy to reproduce/print Easy to calculate profit/loss a. b. c. d. 23. Capitalism is a political-economic system In which the means of production (machinery, factories, businesses) are owned by government and goods are distributed either equally or based on ‘need’ to the people a. b. In which the means of production (machinery, factories, businesses) are privately c. In which an elite ‘wealthy or ‘aristocrat’ class is granted special rights to own the means d. Both b &c owned and goods are produced based on profit/loss incentives. of production and produce goods at pre-arranged prices.

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