Describe the type of economic system characterized in each of the following

sentences:
1. Prices are based on demand and supply
2. The government decides on what goods should be produced.
3. Ancient methods are used in deciding on what goods to produce.
4. People enjoy freedom of choice in arriving at decisions on what to buy.
5. People have no freedom of choice in arriving at decisions on what to buy.
6. Economy is stagnant, making use of practices in the olden times.
7. Economy is backward because no new technology or production
methods are introduced.
8. It is the most democratic form of economic system.
9. People’s preference are reflected in the prices they are wiling to pay in
the market.
10. It exists in primitive and backward civilizations.
Identify which resource is referred to by the following words.
1. Entertainer
2. Minerals
3. Forests
4. Marine resources
5. Teachers
6. Technology
7. Production equipment
8. Engineers
9. Call center agents
10. Business proprietor
Assignment

• Cut out a news item that is related to economic issue. In the

classroom, decide if the issue is related to scarcity. If so, why and
how?
Classroom activity:

• Using a pie chart, show your regular allowance for the week and
explain how you allocate your budget for your school and personal
expenses. State why there is an existence of scarcity. (1/2 Crosswise)
Pretest:
Give the following definitions of the words enumerated below using your
book as reference (1 Whole):
1. Market 11. Complements
2. Goods market 12. Income
3. Labor market 13. Taste
4. Demand 14. Expectation
5. Demand function 15. Population
6. Non-price variables 16. Supply
7. Real income 17. Technology
8. Substitution effect 18. Market equilibrium
9. Ceteris paribus assumption 19. Monopoly
10. Substitute goods 20. Oligopoly