What type of economy exists in most totalitarian government?

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2026-04-27 09:20

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Most totalitarian governments operate under a command or planned economy, where the state exerts significant control over production, distribution, and pricing of goods and services. The government typically makes economic decisions to align with its political objectives, often prioritizing state interests over individual entrepreneurship. This can lead to inefficiencies, shortages, and a lack of innovation, as the free market is heavily restricted or entirely suppressed.

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