Introduction to National Economic Planning
National Economic Planning is the concept of allocation of resources which aims at the development of a nation. The concept of economic planning deals with the direct allotment of resources for the better functioning of the various aspects of government and its departments.
In any decision making process, planning plays a major role. Similarly in National Economic Planning, divisions into two types of planning enables better governing of the planning process. The types of planning are centralized and decentralized planning. Centralized planning methods involve the role of central planning in the allocation of resources which is called planned strategies in economy and focuses on the requirements of the general aspects. In decentralized planning, flow of resources initiate from the bottom level of the organization in concerns which brings about more of the principles of social management rather than planned management which occurs in centralized planning.
Command economy is one which is differentiated from planned or organized economy as the concept of command economy is followed in capitalistic countries while planned economy involving departments of the government and people from all levels of management is practiced in democratic countries.
Socialistic planning is a type of economic planning executed in socialistic economies like Marxist countries where goods are valued based on their value of usage, unlike capitalistic countries where economy is based on profit accruing from sales of products.
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In addition to the manner of writing, the interpretation of information on National Economic Planning should be performed correctly and accurately by students with proper understanding of types of planning, which are again based on the types of economies and nature of the countries. Students should update themselves on the latest developments among the various economies and adhere to the norms specified by the curriculum in writing assignments and assessments.
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