What characterizes a command economy?

A command economy is primarily characterized by government control over production and distribution processes. In such an economic system, the state takes on the role of central planner, determining what goods and services are produced, in what quantities, and at what prices they will be made available to consumers. This control extends to various sectors of the economy, often including agriculture, manufacturing, and even services.

This system contrasts sharply with market-driven economies, where decisions are guided by supply and demand dynamics. In command economies, individual preferences and market forces do not dictate production; rather, the government sets these parameters. This allows the government to aim for specific economic goals, such as equitable distribution of resources or rapid industrial growth, regardless of consumer desires.

The other options describe features of market economies or mixed economies, where market forces play a significant role, consumer preferences influence production decisions, and there's a balance of power between the government and market forces. However, these features do not align with the fundamental nature of a command economy.