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Outline the characteristics of centrally planned economic system

      

Outline the characteristics of centrally planned economic system.

  

Answers


John
1. There is rationing of certain commodities to predetermine their supply and to ensure equal access.
2. There is fixation of prices and wages by state which is not equilibrium price.
3. It is the government which decides what is produced, how is produced, how much is to be produced and where is produced. It is government which allocates resources through overall economic plan.
4.Factors of production are owned by the government.
Jonmhumble answered the question on October 22, 2017 at 17:51


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