Command+System

=__//Command Economy/Planned Economy //__= = = ==A command economy is where supply and price are regulated by the government rather than market forces. Government decides which goods and services are produced and how they are distributed. The contrast economic system is the market economy. ==

=//__Examples Of Command Economies __//= = = = = = = = = == Command Economy is based on a central planning. Every input, every output, every intermediate good, every worker, every resource is allocated based on a predetermined plan. == == In a Command economy, the Market is not in effect. Without the Market, there is no consumer preference and resources will be mis-allocated; therefore there will either be a shortage or a surplus. == = = =//__Advantages __//= = = =//__Disadvantages __//= = = = = = = = =
 * ==North Korea ==
 * ==Cuba ==
 * ==Russia ==
 * ==Libya ==
 * ==Iran ==
 * ==Creates an equal distribution of wealth ==
 * ==Stable ==
 * ==Government can act on problems quickly (Does not have to wait for market forces) ==
 * ==<span style="font-family: 'Palatino Linotype','Book Antiqua',Palatino,serif;">No incentive for innovation ==
 * ==<span style="font-family: 'Palatino Linotype','Book Antiqua',Palatino,serif;">Little freedom ==
 * ==<span style="font-family: 'Palatino Linotype','Book Antiqua',Palatino,serif;">Individuals have no control over goods ==
 * ==<span style="font-family: 'Palatino Linotype','Book Antiqua',Palatino,serif;">Misallocation of resources ==
 * ==<span style="font-family: 'Palatino Linotype','Book Antiqua',Palatino,serif;">Poor quality of prodcuts ==

= Economics in the News = []

=**Reference**= [] []

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