ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -A command economy is also known as a planned economy, as the production, expenditure, and prices are centrally decided by the government.

Detailed explanation-2: -A centrally planned economy, also known as a command economy, is an economic system where a government body makes economic decisions regarding the production and distribution of goods.

Detailed explanation-3: -Answer and Explanation: An Economic system in which decisions on production and consumption of goods and services are based on voluntary exchange in markets is best referred to as a market economy. In a market economy, the forces of supply and demand control how products and services are produced.

Detailed explanation-4: -A command economy is a system in which a central government makes all economic decisions. Either the government or a collective owns the land and the means of production.

Detailed explanation-5: -A command economy is an economic system in which the government, or the central planner, determines what goods and services should be produced, the supply that should be produced, and the price of goods and services.