The planned economy

planned economy - a kind of economic system.The purpose of this structure is to provide the needs of the population.This one works according to his ability.And they get all of the needs.

planned economy is mainly characterized by the presence of a single owner - the state.Monopolist collects marketing information.The state is responsible for planning and approval obligations.

When previously known consumption and clearly over-performed installations excluded.Due to the fact that the manufacturer does not feel commercial interest, there are no aggressive and advertising.

planned economy implies that education of society in a spirit of mutual assistance.And selfishness is considered the main problem of capitalism.

With unemployment population tends to work.However, there are no jobs.The problem of unemployment copes planned economy.

Pros and cons of

According to many experts, the shortcomings of the structure continue its merits.

For example, the planned economy contributed to the elimination of unemployment.However, after some time there was parasitism.In this case, people were provided with jobs, but work avoided.According to experts, in a society which is guided by the principle of "to each according to his needs", such an outcome is inevitable.In this connection, the planned economy requires a strong structure of forced labor.

course, forced to anything whatsoever always meets resistance.This, in turn, creates the need to create a device designed to deal with disgruntled.This, of course, sparking protests.

most effectively planned economy embodies rigid dictatorship.This political system, moreover, successfully eliminates resistance and struggles with criticism.

to such a system was maintained, require a massive propaganda.It should be noted that a planned economy is practically no advertising products.But the presence of the existing political system propaganda and advertising work.

head of the entire production - the state.This fact, many experts believe the dignity of the planned economy, as a monopolist has a complete picture of what is happening.

Huge amounts of information are flocking from all over the state in a single analytical center.It carried out the systematization of data and planning.To accomplish this (without the use of advanced technologies), you must use a huge number of people.

staff not involved in the production.They are unaware papers.Thus, in each section of an information network accumulates a large number of employees.As a result, the human factor comes to the size of the disaster.

to the central unit information comes not entirely reliable.Repeatedly handed down by "broken telephone", it changes, it becomes distorted.As a result, the center does not begin to take adequate decisions.These, in turn, is also repeatedly transmitted and distorted.As a result of wrong decision-making hampers their implementation.

Over time, staff involved in "paper cases", drawn up at a particular class of society, set up hostile to the rest of the citizens.Despite the fact that the bureaucrats do not produce, they begin to represent the true center of power.Without their permission is impossible to solve any problem.For sanctions citizens are beginning to use bribes.As a result, an integral part of the bureaucratic machine becomes corruption.

According to many experts, the main drawback in the planned economy is the lack of a natural motivation for productive and quality work.The employee does not understand why he should work better and longer if he still got paid.In such circumstances, when the payment is distributed in accordance with the merits and taking into account the needs, no one wants to work.