Question

The economic system of Country X is heavily controlled by a powerful, centralized government. The government sets a five-year plan, fixes prices and quotas for raw materials, and manages the demand for goods. However, there are wide spread shortages of commodities. This country’s economic system can best described as —

A. Socialist
B. Free enterprise
C. Communist
D. Mixed

Answer 1

C. Communist

Step-by-step explanation:

Switch "Country X" for China, and everything makes sense...