ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -The USSR is the quintessential example of a centrally planned economy. A centrally planned economy or a command economy is one where the price and allocation of resources, goods and services is determined by the government rather than autonomous agents as it is in a free market economy.

Detailed explanation-2: -Both socialism and communism are types of a command economy. In all three, the government controls businesses, resources, and economic activity in the country.

Detailed explanation-3: -In most communist countries, the government makes those decisions on their behalf. This system is called a command economy.

Detailed explanation-4: -Some examples of countries that have command economies are Cuba, North Korea and the former Soviet Union.

Detailed explanation-5: -Communism, also known as a command system, is an economic system where the government owns most of the factors of production and decides the allocation of resources and what products and services will be provided. The most important originators of communist doctrine were Karl Marx and Frederick Engels.