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command economy

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command economy

Economic system in which the means of production are publicly owned and economic activity is controlled by a central authority. Central planners determine the assortment of goods to be produced, allocate raw materials, fix quotas for each enterprise, and set prices. Most communist countries have had command economies; capitalist countries may also adopt such a system during national emergencies (e.g., wartime) in order to mobilize resources quickly. See also capitalism; communism.



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Byline: Daily Star Staff Summary: The head of the Damascus Stock Exchange urged the government on Tuesday to boost the nascent bourse by offering shares in public companies and shaking off the legacy of a command economy stretching back four decades.
Estonia, which shifted rapidly from a communist command economy to the free market after independence from the Soviet bloc in 1991, had enjoyed a reputation as a "tiger" in the European Union, which it joined in 2004.
Analysts say the campaign cannot properly address the fundamental problems plaguing the impoverished state's command economy.
 
 
 
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