Reply To: Economics of State Sadism.

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#81036
Mufasa
Participant

for point 2. I would disagree. North Korea has a unique patriarchal culture to the leader. To improve its economic welfare, I do not believe it necessitates other freedoms such as creativity, when people only have the will to survive other priorities are less necessary.

for point 3. the point was, that for totalitarian command economy to survive in this case and the only existing example North Korea, it simply requires much more emphasis on localized planning and incentives (not necessarily private incentives for personal gain but that Ofc that is important) production through the value chain, matching supply and demand, is still run by the state rather not by free market forces, but by taking into account of more localized requirements in allocating budget for example. This is all purely theoretical however based on the inefficiencies of top down planning. Local administration may manage themselves to a large extent focusing on sustainability of services, distribution of goods, promoting employment/laying off etc. While the national administration focuses more on the nation’s most important productive industries and it’s infrastructures.
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