Question 1

One reason for believing that in practice capitalism fails to live up to its own ideal of competition is

Accepted Answer

A)  we have government subsidies and protective tariffs. 
B)  monopolies control almost all areas of economic life. 
C)  so many small companies go bankrupt. 
D)  the outsourcing of jobs.

Question 2

Which of the following historical stages of capitalism came first?

Accepted Answer

A)  financial 
B)  mercantile 
C)  industrial 
D)  state welfare

Question 3

One of the key features of capitalism is

Accepted Answer

A)  favoritism. 
B)  cooperation. 
C)  inequality. 
D)  competition.

Question 4

None of the specific measures proposed by Marx and Engels in the Communist Manifesto have been implemented in capitalist countries.

Accepted Answer

A) True 
 B)False

Question 5

According to a socialist, the best economic system would be one where the means of production and distribution are in the hands of the bourgeoisie.

Accepted Answer

A) True 
 B)False

Question 6

According to Alfie Kohn, competition promotes individual and group achievement better than cooperation.

Accepted Answer

A) True 
 B)False

Question 7

How many Americans believe that "if you work hard enough, you'll make it?"

Accepted Answer

A)  One out of two. 
B)  One out of three. 
C)  One out of four. 
D)  One out of five.

Question 8

According to Marx, when workers are alienated they are not truly free.

Accepted Answer

A) True 
 B)False

Question 9

Property ownership involves a generally complex bundle of rights and rules governing how, under what circumstances, and in what ways both the owner and others can use, possess, dispose of, and have access to the thing in question.

Accepted Answer

A) True 
 B)False

Question 10

Government programs often subsidize American businesses and protect them from competition.

Accepted Answer

A) True 
 B)False

Question 11

Some critics believe that "competition is not a good" because trying to do well and trying to beat others are two different things.

Accepted Answer

A) True 
 B)False

Question 12

Implicit in capitalism is the view that human beings aim to maximize their economic self-interest.

Accepted Answer

A) True 
 B)False

Question 13

Worker control socialism is a hybrid economic system with no marketplace and no profits.

Accepted Answer

A) True 
 B)False

Question 14

The Fugger dynasty was an example of

Accepted Answer

A)  industrial capitalism. 
B)  mercantile capitalism. 
C)  financial capitalism. 
D)  globalized capitalism.

Question 15

For the first time since the Industrial Revolution, less than _____ percent of the American workforce was employed by manufacturing.

Accepted Answer

A)  10 
B)  25 
C)  50 
D)  62

Question 16

Companies that in years past were identified with making goods of all sorts now are likely to produce only the package and the label.

Accepted Answer

A) True 
 B)False

Question 17

The sense of private property that is central to capitalism is the ownership of the means of production and distribution.

Accepted Answer

A) True 
 B)False

Question 18

As a classical moral justification of capitalism, the natural right to property is a utilitarian justification.

Accepted Answer

A) True 
 B)False

Question 19

A basic premise of Adam Smith's invisible hand argument is

Accepted Answer

A)  human beings try to avoid acquisitive behavior. 
B)  when people are left to pursue their own economic interests, disaster looms. 
C)  the division of labor, though good for the firm, reduces overall efficiency. 
D)  We often get what we want from others by offering something they need from us.

Question 20

Karl Marx believed that

Accepted Answer

A)  capitalist workers suffer from alienation. 
B)  capitalism no longer exploits workers. 
C)  industrialization does away with alienation. 
D)  workers are alienated from their products, but not from themselves or other people.

Exam 4: The Nature of Capitalism

One reason for believing that in practice capitalism fails to live up to its own ideal of competition is

Which of the following historical stages of capitalism came first?

One of the key features of capitalism is

None of the specific measures proposed by Marx and Engels in the Communist Manifesto have been implemented in capitalist countries.

According to a socialist, the best economic system would be one where the means of production and distribution are in the hands of the bourgeoisie.

According to Alfie Kohn, competition promotes individual and group achievement better than cooperation.

How many Americans believe that "if you work hard enough, you'll make it?"

According to Marx, when workers are alienated they are not truly free.

Property ownership involves a generally complex bundle of rights and rules governing how, under what circumstances, and in what ways both the owner and others can use, possess, dispose of, and have access to the thing in question.

Government programs often subsidize American businesses and protect them from competition.

Some critics believe that "competition is not a good" because trying to do well and trying to beat others are two different things.

Implicit in capitalism is the view that human beings aim to maximize their economic self-interest.

Worker control socialism is a hybrid economic system with no marketplace and no profits.

The Fugger dynasty was an example of

For the first time since the Industrial Revolution, less than _____ percent of the American workforce was employed by manufacturing.

Companies that in years past were identified with making goods of all sorts now are likely to produce only the package and the label.

The sense of private property that is central to capitalism is the ownership of the means of production and distribution.

As a classical moral justification of capitalism, the natural right to property is a utilitarian justification.

A basic premise of Adam Smith's invisible hand argument is

Karl Marx believed that