Economies in which the government owns factors of production and determines prices are known as:

Question

Quizplus · Accepted Answer

Centrally planned economies are also known as command economies, in which the government centralizes economic decision-making and owns or controls most of the factors of production. Prices of goods and services are determined by the government, instead of being set by the market forces of supply and demand.

Economies in Which the Government Owns Factors of Production and Determines