How is income distributed in a command economy?

In a command economy, income distribution is primarily determined by the government or central planning authority. The government controls the allocation of resources, production levels, and distribution of goods and services. As a result, income distribution in a command economy is typically more equal compared to other economic systems.

In theory, the government aims to ensure that everyone receives a fair share of the national income and that basic needs are met for all citizens. This is achieved through policies such as setting wage rates, price controls, and providing social welfare programs. The government may also prioritize certain sectors or industries to promote economic development and address societal needs.

However, in practice, income distribution in a command economy can still be influenced by factors such as political power, corruption, and inefficiencies in resource allocation. The government's control over the economy can lead to a lack of incentives for individuals to work harder or innovate, potentially resulting in lower overall productivity and economic growth.

Overall, while a command economy aims to achieve income equality, the actual distribution of income can vary depending on the effectiveness of government policies and the level of corruption or inefficiencies present in the system.