Question

1. The idea that all resources are limited is called

a. capitalism
b. mercantilism
c. scarcity
d. supply and demand

2. The biggest difference between Mercantilism and Capitalism is
a. In Capitalism, the government controls what is traded, but in Mercantilism, the people are free to trade what they wanted
b. Mercantilism focused on individuals making a profit, and investing that profit back into their business
c. Capitalism focused on the buildup of a nations supply of Gold and Silver
d. In Mercantilism, the government controls what is traded, but in Capitalism, the people are free to trade what they wanted

3. Mercantilism's basic idea was to build up a nations supply of gold and silver by ________.
a. Exporting more goods than you imported
b. Using colonies for raw materials and markets to sell your goods
c. The government controlling the economy.
d. all the above

4. Which best explains how a tariff can protect a nation's businesses?
a. A US tax on imported Brazilian oranges helps raise their prices so that they are similar to the cost of oranges grown in Florida.
b. The US supply of oranges is destroyed by a hurricane and raises the prices of oranges at the grocery store
c. Brazilian oranges are destroyed by a disease, so Brazil buys more US oranges.
d. US taxes imported Brazilian oranges, so Brazil raises taxes on imported US automobiles.

5. Who is known as the father of Capitalism?
a. John Locke
b. Adam Smith
c. Thomas Hobbes
d. Karl Marx

6. The law of Supply and Demand states that the more you have an item the _______ it is worth.
a. More
b. Less

Answer 1

1. The idea that all resources are limited is called

c. scarcity

2. The biggest difference between Mercantilism and Capitalism is

d. In Mercantilism, the government controls what is traded, but in Capitalism, the people are free to trade what they wanted

3. Mercantilism's basic idea was to build up a nations supply of gold and silver by ________.

d. all the above

4. Which best explains how a tariff can protect a nation's businesses?

a. A US tax on imported Brazilian oranges helps raise their prices so that they are similar to the cost of oranges grown in Florida.

5. Who is known as the father of Capitalism?

b. Adam Smith

6. The law of Supply and Demand states that the more you have an item the _______ it is worth.

b. Less

Step-by-step explanation: