Lesson 1


Question 1

The essential characteristic that differentiates human beings from animals is:

  • A Our destructive capacity
  • B Our rational mind
  • C Our bodily strength
  • D Our instinct for survival

Question 2

Living in society is only beneficial if _________________.

  • A We can interact with others in mutually beneficial ways
  • B We can rule over others, making others sacrifice for us
  • C We are born into wealth
  • D Either B or C

Question 3

Which of the following is NOT a reason why leaving people free to make their own choices in life is beneficial to society?

  • A Freedom of choice leads to creativity and innovation
  • B Creativity and innovate lead to better, more desirable products
  • C Man cannot spontaneously act under physical force/coercion
  • D The "law of survival of the fittest" applies not just to animals, but also to human beings

Question 4

Which of the following is NOT a feature of the Free-Enterprise System?

  • A A free-market economy that allows for voluntary exchange and a functioning price system
  • B An economic policy that guarantees a "living wage" to all workers
  • C A political system that recognizes and upholds individual rights to life liberty and property
  • D A government that protects the equal rights and liberty of all its citizens

Question 5

The proper role of government in a free society is to ______________________.

  • A Uphold freedom & liberty
  • B Protect citizens from criminals, fraudsters, and foreign aggressors
  • C Use physical force only in retaliation against those who initiate force
  • D All the above

Question 6

All of the following are conditions of a properly functioning democratic system EXCEPT which?

  • A One-party rule and suppression of dissenting views
  • B Free and fair elections
  • C Transparency and accountability of elected officials
  • D All citizens are subject to the rule of law

Question 7

When people are free, markets encourage suppliers to produce what consumers want Adam Smith called this:

  • A Market Symphony
  • B Market Confluence
  • C Divine Direction
  • D The Invisible Hand

Question 8

One criticism of the Free-Market is that it harms our spiritual nature, encouraging greed and immorality. One reason this is false is _________________

  • A The Free-Market leaves people free to think, invent, create, and live out their lives meaningfully – all spiritual endeavors
  • B People unjustly assume that we lose our morality when we deal in money
  • C Free-Market philosophy recommends giving tax breaks to churches, which is how it promotes spirituality
  • D Both A & B

Question 9

One criticism of the Free-Market is that it harms us psychologically, alienating us for our true nature and potential. One reason this is false is _________________________

  • A Technology in a Free-Market, while it does limit our potential and impair our social skills, gives us opportunities to live out virtual lives online
  • B Machinery, while it puts people out of work, gives us more personal time to arrive at "self-understanding"
  • C Machinery, while it makes us poorer, puts us in better touch with nature and our primal selves
  • D People in a Free-Market have the freedom to choose careers they find meaningful and leave lines of work where they are unhappy

Question 10

 Thanks to the Free-Market today we live in one of the healthiest, cleanest, wealthiest environments in human history

  • A True
  • B False
  • C
  • D


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