Explain the type of economic system found in North Korea. Who controls the economic activity? What program receives the majority of the country's budget?

Question

Yael Holder

Social Studies

15 March, 19:07

Explain the type of economic system found in North Korea. Who controls the economic activity? What program receives the majority of the country's budget?

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Answers (2)

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Nolan · Answer 1

North Korea is an unreformed, isolated, tightly controlled, dictatorial command economy run by the communist government.

Agriculture was organised by the government after the war. Since the government is in charge of everything, the farmers no longer have ownership of their land.

Military receives the majority of the country's budget.

Alayna Burnett · Answer 2

The Democratic People's Republic of Korea (DPRK) also known as North Korea, has a tightly controlled, dictatorial command economy. A command economy does not rely on the laws of supply and demand that are evident in a market economy. Cuba, North Korea and the former Soviet Union are examples of a command economy because as communist societies they prevented monopolies of private business and favored social welfare and equity. Social welfare therefore is the program that receives the majority of the country's budget.