Question

An economic theory that stresses government management of the production and distribution of goods is

Answer 1

An economic theory that stresses government management of the production and distribution of goods is  Socialism.

Socialism means an economic system in which the means of earning like factories, industries, etc. are owned publicly and not by a few private players. According to Karl Marx, it is the transitional state between capitalism and communism.

Answer 2

The economic theory that stresses government management of the production and distribution of goods is considered to be a socialist theory that places state control above the economy of the state more than free market.

This type of economy is also referred to as planned or command economy. Such economy does not place any regard for any kind of competition.