Command Economies
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The government or other central
authority makes decisions and determines how resources will be used
-
Change can occur relatively
easily
-
There is little individual
freedom
-
There is no competition
-
Businesses are not run to create
a profit
-
Consumers have few chooses
in the market place
-
Factories are concerned with
quotas
-
Shortages are common because
of poorly run factories and farms
-
The government dictates the
job in which you work
-
The government sets the prices
of goods and services
Examples of command economies:
Cuba, North Korea and the People's Republic of China