1.

What is planning by direction ?

A. Under planning by direction, the State has complete control over the means of production and the Central Planning Authority formulates a plan for the country.
B. The State has complete control over the means of production. However, planning is decentralized.
C. The State directs the entrepreneurial class to perform various economic activities according to a plan formulated by the government.
D. There is a Central Planning Authority. However, market forces are allowed to operate in the economy.
Answer» B. The State has complete control over the means of production. However, planning is decentralized.


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