As of 2014, there are five communist countries: China, Cuba,
North Korea, Vietnam and Laos. Former communist countries include Angola, Bulgaria, Cambodia, Czechoslovakia, Hungary, Romania, Soviet Union and Yugoslavia. Communist countries could be found throughout the world during the era of the Soviet Union.
China: China became a communist nation in 1949 when
Mao Zedong proclaimed China as the People's Republic of China. Cuba: Fidel Castro took over the government of Cuba in 1959. Two years later, the country was communist and had strong ties to the Soviet Union. North Korea: Korea was divided into a Soviet north and American south after World War II and became a communist country in 1948. North Korea has been a communist nation since 1948, which also makes it the oldest of the currently existing communist nations. Vietnam: Vietnam was separated into communist North Vietnam and democratic South Vietnam in 1954. After the Vietnam War in 1976, the two were unified into communist Vietnam. Laos: The Lao People's Democratic Republic became a communist country in 1975.
What Countries Have a Mixed Economy?
Countries with mixed economies include Iceland, Sweden, France, the U.S, the U.K, Cuba, Russia and China. Most
industrial countries have mixed economies, but vary in the
degree of government involvement. For example, in Western Europe the government generally has a stronger role, while in North America the market is more influential. The only major planned economy is North Korea. A mixed economy is one in which both market forces and government actions guide commerce. The government does not control the private sector nor the goods and services available. However, the government is able to intervene in the economy through such methods as the taxation and regulation of goods and services, subsidization of certain goods and services and the redistribution of wealth, such as though public housing, social programs and food stamps. During times of economic hardship, such as during a recession, the government can create policies to provide economic stability. This is in contrast to market and planned economies. A market economy is one that is primarily directed by businesses and consumer demand, with little government intervention. A planned economy is one in which the government controls the production of goods and services. Communism and socialism are types of planned economies. What countries have a planned economy? North Korea, Cuba and Zimbabwe are countries that have planned economies, as of October 2014. The largest country to have a planned economy was the Soviet Union. A planned economy, or a command economy, involves near-total government control of industries, commerce, manufacturing, output and economic activity. A large portion of a country's gross domestic product comes from government programs in a planned economy. Zimbabwe's government spending, as a percentage of the country's GDP, is 97.8 percent. That means nearly 98 percent of Zimbabwe's economic activity is due to government funding. Cuba's government spending as a percentage of GDP is 78.1 percent. North Korea's economy is almost completely based on the government's military spending.
In a command economy, the government controls production
levels, prices, wages, reallocation of resources, trade and commerce. When production levels are set, the government proscribes how many people must work to achieve that output level. Once the finished products are sold, the government reallocates the money to go towards whatever projects it deems necessary. A planned economy is the exact opposite of a free-market economy. Most countries are mixed economies with a certain percentage of a nation's GDP from government funding. By comparison, the U.S. government is responsible for 38.9 percent of the country's GDP.