ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Key Takeaways. The country of North Korea, officially known as the Democratic People’s Republic of Korea (DPRK), has an isolated and tightly controlled command economy, which is a standard component of any communist country.

Detailed explanation-2: -South Korea has a mixed economic system which includes a variety of private freedom, combined with centralized economic planning and government regulation.

Detailed explanation-3: -South Korea has a mixed economic system that is about 74% free and 26% command.

Detailed explanation-4: -The economy of North Korea is a centrally planned economy, following Juche, where the role of market allocation schemes is limited, although increasing. As of 2022, North Korea continues its basic adherence to a centralized command economy.

Detailed explanation-5: -South Korea has a mixed economic system Private economic freedom (people have a lot of freedom to start their own businesses and have quite a few foreign trade options)⁶ is accompanied by the government’s regulations, such as restricted foreign investment, mandatory 52-hour working weeks, income taxes, etc.