Define the Two Categories of Planned Economies and Illustrate the Differences

question 32

Essay

Define the two categories of planned economies and illustrate the differences and similarities between them.

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Definitions:

Authority

The legitimate or socially approved use of power within a given role, institution, or situation.

Subsistence groups

Communities or social groups that rely on natural resources and their immediate environment for their food, shelter, and clothing, often through hunting, gathering, fishing, or subsistence agriculture.

Distribution

The way in which something is shared out among a group or spread over an area.

Consumption

The process by which goods and services are utilized by individuals or groups to satisfy personal or collective needs or desires.