Question

A nation has a high Human Development Index and a high gross domestic product. Which of the following factors might result in classification of the nation as developing rather than developed?

A high per capita income

A command economy

Mechanization of farms

A full market economy

Answer 1

A command economy

Step-by-step explanation:

A command economy refers to a country where the government decides what goods or services should be produced in the country and at what price they should be sold. The government also sets wages and salaries, and determines what investments will be carried out.

Usually command economies are associated with communist countries. But we can also associate them to some small oil producing nations like Qatar or UAE whose economies are solely based on oil production (over 60% of GDP) which is controlled by the monarchy. Qatar and UAE are considered very rich countries, but most of the wealth is controlled by the monarchy and the vast majority of the population is very poor. The monarchy doesn't control all the economy but it controls or at least supervises most of it.

Answer 2

"A command economy" is the one factor among the following choices given in the question that might result in classification of the nation as developing rather than developed. The correct option among all the options that are given in the question is the second option. I hope that this is the answer that has helped you.