Or is that true Chinese market for instance, has rolled out from the planned economy to a free market economy to a degree retaining its own planned model in the core of the change. At this level, the impact of the planned economy and the change that it has brought into China has been impressive1. This paper targets to present both the sides of the market economies. An analysis has been done at the end of presenting the pros and cons of both the free market as well as the planned economies.
Planned economies have been the 'successful' economies of the yesteryears. The Russian, the Chinese economy before the changes in the economy all were adopting the centrally planned economy. This had typically, the people at the centre of the entire plan. Whether it is agriculture or the industry, the state was the centre of all action. Large scale investments were done by the state to ensure that the progress was continuous. Planned economies target was to bring parity among the communities and the individuals. The individuals yielded place to communities. The planning was for the communities and the individual was not considered for economical study. However, the individual formed the major part of their plan for the future. Education and the individual development was a part of the community target to ensure that the growth continued to exist.
While there was a rap ...Show more