managed economy
Noun: A managed economy is an economic system where the government plays a significant, direct role in controlling and regulating the allocation of goods, resources, and the setting of prices. It contrasts with a free-market economy, where these factors are primarily determined by supply and demand with minimal government intervention.
The term is used to describe a specific type of non-market economic structure. It is often discussed in comparative economics, political science, and history.
Examples: * The country transitioned from a managed economy to a more market-oriented system. * In a managed economy, central planners decide which factories produce what goods. * Critics argue that a managed economy can lead to inefficiencies and shortages.
- The concept is frequently contrasted with related systems. A centrally planned economy or command economy represents a more extreme form of a managed economy, where the state has almost total control. A mixed economy incorporates elements of both management and free markets.
- The phrase "heavily managed economy" emphasizes the high degree of government control.
- Central Planning (n): The method of making decisions about the production and allocation of goods and services by a central authority, which is a hallmark of a managed economy.
- Command Economy (n): Often used synonymously with a strictly managed economy, implying state ownership of the means of production and detailed economic directives.
- Mixed Economy (n): An economic system that combines elements of both market economies and managed economies, with both private enterprise and government intervention.
- Planned economy
- Command economy (in its strict form)
- Non-market economy
- Directed economy
- Free-market economy
- Laissez-faire economy
- Market economy
- Government intervention: The action taken by a government to influence a country's economy, which is the defining feature of a managed economy.
- Price controls: Government-imposed limits on the prices that can be charged for goods, a common tool in a managed economy.
- Resource allocation: The process of assigning available resources to various uses, which is centrally directed in a managed economy.
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a non-market economy in which government intervention is important in allocating goods and resources and determining prices
