In a command economy, people are not free to:

• A. choose which goods and services to produce
• B. participate in international trade
• C. pay taxes to the government
• D. use money as a medium of exchange

Answer: (A)

Verified step by step guidance

1. Understand the nature of a command economy: it is an economic system where the government centrally plans and controls production and distribution of goods and services.
2. Identify what freedoms individuals typically lack in a command economy. Since the government decides what to produce, individuals do not have the freedom to choose which goods and services to produce.
3. Consider the other options: participation in international trade, paying taxes, and using money as a medium of exchange. In many command economies, these activities can still occur, although sometimes under government regulation.
4. Focus on the key characteristic of a command economy related to production decisions, which is the lack of freedom for individuals to decide what goods and services to produce.
5. Conclude that the correct answer is the option stating that people are not free to choose which goods and services to produce, as this aligns with the fundamental principle of a command economy.