| 单词 | planned economy |
| 释义 | planned economy An economy in which the government takes all major decisions about what should be produced and who should get it. This is contrasted with a market economy, in which most decisions are taken by independent individuals and firms. Proponents of a planned economy claim that planning enables wasteful duplication and unemployment to be avoided and goods to be distributed fairly. The actual process of taking decisions and seeing that they are carried out requires an enormous amount of information and officials to administer the system. Critics of planned economies claim that they have been bad at discovering what consumers really want and motivating firms to produce it, and have shown inflexibility in the face of a changing environment. The former Soviet Union and its associated countries provided large-scale examples of planned economies. The results proved so unsatisfactory that since 1990 these countries have shifted towards a more market-based system. Most real world economies fall somewhere between full central planning and a pure market economy. In the UK, for example, the government directs several large sectors of the economy, including defence, roads, education and health. |
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