Comprehension

1. Agree or disagree with the statements.

1. The command economy allows little individual economic freedom since most decisions are made by the government.

2. Resources are allocated according to inherited rights in a mixed economy.

3. Sweden is an example of a command economy.

4. The free market allows individuals to produce goods and services without any government restrictions.

5. A free market economy is a society where the government makes all decisions about production and consumption.

6. The United States is an example of a market economy.

7. A lack of flexibility in reacting to market conditions and consumer behavior is a primary drawback of a traditional economic system.

8. The traditional economy approach can still be seen in the UK.

Vocabulary

2. Match the beginning of the sentence with its ending.

1. Traditional economic systems	a) comes not only in the form of money
2. Both the market and the government	b) is sometimes called a planned economy
3. Economic decision-makers in all of these systems	c) play important roles in this system
4. An entrepreneur's investment	d) center on agrarian practices
5. A command economy	e) is a primary drawback of this economic system
6. A lack of flexibility in reacting to market conditions and consumer behavior	f) is at the core of the command economy system
7. Complete government control of the economy	g) can play a role in determining which economic system is followed in a specific place
8. Political structure and even climate and geography	h) must face the same basic issues

3. Fill in the correct word from the list below.

Inherited, developing, unemployment, work, to meet, to set, market, complete, primary, personal

1. .…………… nations

2. ……………. rate

3. …………… rights

4. …………… control

5. …………… objectives

6. ……………. prices

7. ……………. drawback

8. …………… capacity

9. …………… economy

10. ……………resources

4. Complete the crossword.

							8
																5
														^10
^9												1
								^3
						^4
															6
											^2
			^7

Across

2. An economy in which production, prices and incomes are decided and fixed by the central government.

3. A supply of something that a country, an organization or a person has and can use, especially to increase their wealth.

4. The relationship between production, trade and the supply of money in a particular country.

7. All people who work foe a company or a country.

9. The group of people who are responsible for controlling a country.

10. An economic system in which the price of goods and services is affected by supply and demand rather than controlled by a government.

Down

1. The study of how a society organizes its money, trade and industry.

5. The amount of money that you have to pay for something.

6. An economic system in a country in which some companies are owned by the state and some are private.

8. The fact of a number of people not having a job.