How does the economy of cuba differ from the economy of north korea? in north korea, the government’s control of the economy has begun to loosen. in cuba, the government maintains a tight hold over the economy. in cuba, the government’s control of the economy has begun to loosen. in north korea, the government maintains a tight hold over the economy. in north korea, there is economic uncertainty in exchange for individual choice. in cuba, there is economic security in exchange for government control. in cuba, there is economic uncertainty in exchange for individual choice. in north korea, there is economic security in exchange for government control.\

The answer is (B) In Cuba, the government’s control of the economy has begun to loosen. In North Korea, the government maintains a tight hold over the economy.  

Explanation:

Cuba is a country in Latin America that was under the rule of an authoritarian leader named Fidel Castro. Under his rule, the economic system applied in Cuba was a planned economy – also known as a communism-based economy, where the government owns and operates most of the industries and people are paid a similar wage to one another. After a few decades, however, Cuba chose to implement a more moderate form of its planned economy, allowing certain private enterprises to emerge. North Korea – an East Asian country which is also under authoritarian rule by the Kim family – implements a similar form of centralized planned economy, although it hasn’t yet developed its private sector as much as Cuba.  

Explanation:

Sole Proprietorship is the type of business in which the liability is not limited. Due to this issue, the owner is solely responsible to pay off the debts of company from his personal owned assets if the business goes bankrupt.

Partnership is just like sole proprietorship but here the partners are the only responsible persons to payoff the debt of the company because the liability is limitless. The burden of the company debts is equally shared among the partners.

Limited Partnership is less risky because the liability is limited and only the amount invested in the business is subjected to the payment of borrowings from the lenders. The limited partner is responsible for his actions which means if his misdeed resulted in fine then it would be paid from his share first and then the other partners are equally liable to for compensation if their is still any amount left.

In the case of Limited liability company, the liability is limited and the burden of the payment of the liability falls on the company. So the investor is not subjected to pay the debts of the company because the limited liability company is a separate entity and is solely liable to pay for its debts.