Command economy

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Reply to statement below in 100 words or more about command economy

In a command economy the goods and services that will be produced are decided by the government. The amount that will be produced and the price that they will be sold is also decided by the government. The purpose of a command economy is to give resources for the good of society and make decisions that are in the best interest of the nation as a whole. In a command economy, businesses are also state owned, and because of this they can also advise them to make the best investments. Businesses under a command economy focus less on efficiency and controlling costs due to the fact that they do not have to worry about going out of business.

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