3.3.7 Economics — section quiz — the 6 pairs that get mixed up
Most mix-ups happen when two words sit next to each other. These are the 6 pairs
worth practicing apart. The 3 marked most confused are the ones the course
itself flags, or that sit closest together.
Cover the right-hand column with your hand, read the left definition, and say which term it
is out loud before you look. Then swap sides.
most confused
free-market system
Producers and consumers decide; government just enforces fair play.
vs
command economy
The government decides what, how much, and at what price and wage.
How to tellAsk who is actually making the production decisions — private individuals, or the state.
traditional economy
Hunting, gathering, farming, herding — often bartered, low specialization.
vs
mixed economy
A blend of free-market choice and government intervention — almost every real country.
How to tellTraditional economies are about subsistence and custom. Mixed economies are the modern norm, combining market freedom with government services.
most confused
HDI
Higher score = better development (health, knowledge, wealth combined).
vs
HPI
Higher score = MORE poverty — runs the opposite direction.
How to tellThe course says this directly: a high HPI rating means lots of poverty. Don't assume every index on the table points the same way.
developed
High standard of living, advanced economy, high human development.
vs
newly industrializing country (NIC)
Not yet developed, but growing rapidly — close to the threshold.
How to tellAn NIC is on the path toward developed status, not already there. Brazil, close by several measures, still lagged on life expectancy and poverty per the course's own figures.
subsistence agriculture
Grown only for the farmer's own family or community.
vs
commercial agriculture
Grown specifically to be sold.
How to tellSubsistence farming predates large-scale trade. Commercial agriculture exploded once transportation and refrigeration made selling crops far away practical.
most confused
Malthus's prediction
Food grows arithmetically; population grows geometrically; disaster is inevitable.
vs
the green revolution
A productivity surge (1940s–60s) that let food output keep pace with population after all.
How to tellMalthus was writing in 1798, before the technology that would later prove his specific prediction wrong, at least so far.
