In a command economy, decisions about which goods are produced are based on:

A. what the government decides is important for society.
B. what goods are most likely to sell in international markets.
C. what businesses believe will generate the most profits.
D. what the local community has made for generations.

Question

05-07-2024
Social Studies

Answered

In a command economy, decisions about which goods are produced are based on:

A. what the government decides is important for society.
B. what goods are most likely to sell in international markets.
C. what businesses believe will generate the most profits.
D. what the local community has made for generations.

Answer :

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Final answer:

In a command economy, the government decides what goods and services will be produced, sets prices and wages, and provides essential services for free.

Explanation:

In a command economy, the government decides what goods and services will be produced and at what prices, sets wages for workers, and provides necessities like healthcare and education for free.

Decisions about which goods are produced are based on what the government decides is important for society as it directs the production process to meet societal needs and goals.

Cuba and North Korea are examples of countries with command economies.

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