Question

contrast centrally planned economies and free market economies.

Answer 1

Planned economies
-) Govt or state control on the factors of production(apart from labor)
-) Consumer welfare is scrutinized
-) Provision of public goods and merit goods
-) minimum standards of living

Free Market economies
-) Private ownership
-) Profit maximization is the basic aim
-) De-merit goods provision
-) Consumer sovereignty
-) Merit goods and public goods are under-provision