Question

Which of the following is most associated with a command economy?

Answer 1

North Korea is most associated with a command economy. The Option C is correct.

In a command economy, the government has total control over the allocation of resources and production decisions which leads to central planning and limited economic freedom. North Korea exemplifies this model because its government tightly regulates and directs economic activities including the distribution of goods and services.

In North Korea, the state exercises extensive authority over industries, agriculture, and even individual economic activities. The government decides what goods will be produced, in what quantities, and at what prices which leaves little room for market forces or individual entrepreneurship.

The full question is:

Which of the following is most associated with a command economy?

China

India

North Korea

Japan

Answer 2

The correct answer is The goods that consumers want are often undersupplied while those consumers don't want are over supplied

Explanation: Command Economy is an economic system whose production is controlled by the state, which defines the planning and goals of the country's economy. Also called Centralized Economy or Centrally Planned Economy, is the model proposed by Socialism.