☰
✕

Introduction
Question
Wired Faculty App

Distinguish between a centrally-planned economy and a market economy.

Answer

A centrally-planned economy is one in which all economic decisions are taken by the government or central authority. A market (or capitalist) economy is one in which all economic activities are organised through the free market.

Sponsor Area

Some More Questions From Introduction Chapter

 How is PPC affected by unemployment in the economy? Explain.

Massive unemployment shifts the PPC to the left. Defend or refute.

What is meant by resources?

What do you understand by the term 'individual' in economics?

What is meant by goods?

Define services.

What is meant by commodities?

What is meant by an economy?

What are vital functions of an economy?

Name three basic economic activities of life.