Command Economy
An economic system where investment, production and the capital goods are controlled
Real World Example
A command economy is an economic system where the government controls investment, production, and the distribution of goods. Historically, during Troubled Times, such as the Great Depression or World War II, countries adopted command economies to quickly mobilize resources and ensure survival. This approach was important because it allowed governments to direct resources towards crucial needs like food, weapons, and infrastructure when markets failed. Today, command economies still matter because they highlight the balance between government control and market freedom, affecting how societies handle crises. For example, during the COVID-19 pandemic, some governments took temporary command-like actions, such as prioritizing vaccine distribution, to protect public health, showing how this concept can impact daily life.
