Step 1: Magnetic Field at the Center of the Loop.
For a current-carrying square loop, the magnetic field at the center of the loop is given by:
\[
B = \frac{2 \mu_0 I}{\pi a^2}
\]
where \( a \) is the side length of the square. The direction of the magnetic field is along the \( z \)-axis due to the symmetry of the loop.
Step 2: Conclusion.
The correct answer is (C), \( \frac{2 \mu_0 I}{\pi a^2} \hat{e}_z \).