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Question

North Korea and Cuba both are examples of countries that operate strict control over the sale of goods and services in what is called a Free Market Economy True or False

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Answer

False.

Explanation

A free market economy is characterized by private ownership, voluntary exchange, and minimal government intervention — prices and production are set by supply and demand. North Korea and Cuba instead maintain strict state control over production, prices, and distribution, which is characteristic of a command (centrally planned) economy, not a free market.

(As a caveat, Cuba has introduced some limited market reforms and small private enterprises in recent years, but its economy remains largely state-controlled; North Korea remains tightly centralized.)