Economics Command Economy Questions Medium
A command economy is an economic system in which the government or a central authority has full control over the allocation of resources, production, and distribution of goods and services. In this type of economy, the government makes all the decisions regarding what to produce, how much to produce, and how to distribute the produced goods and services. The government also sets the prices of goods and wages of workers. Command economies are typically associated with socialist or communist systems, where the goal is to achieve social equality and eliminate private ownership of resources. This system contrasts with market economies, where decisions are made by individuals and businesses based on supply and demand forces.