Exam 4: Economic Systems and Development

Explain how a lack of managerial expertise has affected former centrally planned countries as they transition to market economies.

Scenario: Globetrotter Sam Johnson Sam Johnson is an individual who accepts risks and opportunities involved in creating and operating new business ventures worldwide. He has been considering China, France, or Vietnam for his next venture. -Sam should know that one of the most important factors in forming a successful venture in China is ________.

________ is the process by which a nation changes its fundamental economic organization and creates new free-market institutions.

North Korea practices a policy of self reliance that it calls ________.

In a(n) ________, the government controls the economic sectors that it considers important to national security and long-term stability.

Businesspeople who accept risks and opportunities involved in creating and operating new business ventures are called ________.

A by-product of the centrally planned economy was the emergence of ________.

The ability of a company to decide which goods and services to produce and which markets to compete in is known as ________.

Laissez-faire economics called for greater government involvement in commerce.

Market economics is rooted in the belief that group concerns should be placed above individual well-being.

In a centrally planned economy, entrepreneurs own a nation's land, factories and other economic resources in a strategic fashion.

When the government controls the economic sectors it considers important to national security and long-term stability, it is said to have a(n) ________ economic system.

A lack of managerial expertise, a shortage of capital, cultural differences, and environmental degradation are all considered remaining ________.

In China, family relationships rarely enter the business environment.

The Netherlands recently shifted from a centrally planned economy to a market economy, resulting in one of the lowest unemployment rates in Europe.

China and Taiwan have both gained entry into the World Trade Organization in recent years.

In a market economy, access to alternative purchase options is known as ________.

In which of the following systems is a nation's land, factories, and other economic resources owned by the government?

A(n) ________ is a system in which a nation's land, factories, and other economic resources are owned by the government.

The ________ of the U.S. government seeks to ensure the competitive and efficient functioning of the nation's markets.