Chapter Two

3. Shift of an economy from private ownership to government ownership.
5. Independently owned group of Japanese firms joined and governed by an external board of directors in order to regulate competition.
7. Successor of the European coal and steel community established in 1993 by the Maastricht Treaty.
8. Economic system in which supply, demand, and the price system help people allocate resources and make the WHAT, HOW, and FOR WHOM to produce decisions; the same as a free enterprise economy.
9. Worst period of economic decline in U.S. history, lasting from 1929-1939.
12. Economic system that has some combination of traditional, command, and market economies; also see modified free enterprise economy.
13. Economic system in which private citizens own and use the factors of production in order to generate profits.
19. Gross domestic product on a personal basis; can be expressed in current or constant dollars.
20. Number of people per square mile of land area.
22. Entering into an activity
23. Certificates that could be used to purchase government-owned property during privatization.
24. An economic and political system in which the government owns some, but not all of the factors of production

1. The use of scarce resources
2. Market in which goods and services are sold illegally.
4. China's second Five-Year Plan, began in 1958, which forced the collectivization of agriculture and rapid industrialization.
6. Forced common ownership of factors of production/ used in the former Soviet Union in agriculture and manufacturing.
10. Comprehensive was the centralized economic plan used by the Soviet Union and China to coordinate the development of agriculture and industry.
11. Independent Polish Labor Union founded in 1980 by Lech Waksa
14. Central planning authority in the former Soviet Union that devised and directed Five Year Plans.
15. A central authority makes the major decisions about WHAT, HOW, and FOR WHOM to produce
16. Fundamental restructuring of the Soviet economy; policy introduced by Gorbachev.
17. Economic and political system in which factors of production and collectively owned and directed by the state; a theoretical class society in which everyone works for the common good.
18. Meeting place or arrangement through which buyers and sellers interact to determine the price and quantity of an economic product; may be local, regional, national, or global.
21. Conversion of state-owned factories and other property to private ownership.