SSC MTS EXAM

Detailed explanation-1: -The planning which is pursued only to direct the forces of supply and demand in the market . It is used in economy is like capitalist economy.

Detailed explanation-2: -Directive planning refers to that system in which planning is introduced just to direct the forces of supply and demand so that system does not lose its stability or the state of equilibrium. In such a planning, there is no direct participation of the state in the process of growth.

Detailed explanation-3: -In a capitalist economy, capital assets-such as factories, mines, and railroads-can be privately owned and controlled, labor is purchased for money wages, capital gains accrue to private owners, and prices allocate capital and labor between competing uses (see “Supply and Demand”).