Why planned economy failed?
Why planned economy failed?
Gabriel Anderson
Jayden Martin
The economic calculation problem. There are too many parameters in an economy to optimise for, therefore people pull shit out of their ass, fuck up, inefficiencies ensue where you have plenty of wheat, but no trucks to move it with, or trucks but no fuel, etc. etc.
In more free economies this is alleviating using the price system which more or less using information theoretic quirks of dynamic complex adaptive systems.
David Flores
Chinese Planned economy did not fail. It did what it was required to do, and was switched out when the environment required that.
Besides, today's golden standard is a mixed economy, that doesn't match either theoretical models and borrows from both.
Jayden Jenkins
Turns out economies are really complicated and you can't just set everything to a specific order because it lacks the ability to adjust itself to sudden change.
Luke Wright
>Chinese Planned economy did not fail.
Nolan Cooper
>Chinese Planned economy did not fail
Lincoln Murphy
>capitalism literally fails every few decades or so in recessions and depressions, an has to be saved by the state
>apparently it's a normal part of the system
Ayden White
Maoist Chinese economy grew around 10 points on average. Crisis of the late 50s was hardly a mismanagement too, but a result of financial and political trouble with the USSR, unpon which China depended, which resulted in complete political isolation until Mao reinforced non-allegiance movement and Alliance with the USA.
Planned economy ensured swift industrialisation and modern infrusturcture fundamental for further developments, as well, as concentrated effort for strategic projects, such as Space Program, Nuclear Program and Scientific schools.
Alexander White
>tfw no red guard gf
Jayden Thomas
Yeah, it's the market correcting itself because people are retarded. Same reason why communism fails.
Landon Stewart
>Maoist Chinese economy grew around 10 points on average
what grew? they made more stuff, so gdp increased, but people starved because they made stuff people didn't need.
in soviet union they'd just make concrete until their gdp numbers looked better. even economists like samuelson were tricked by this, so i dont blame you for being bamboozled by it.
Hudson Martinez
recessions are never caused by central banks ever
governments printing money is only good, right?
1% interest rate (while inflation is >2%) is """healthy""" and indicative of a good economy, right?
Luis Martinez
>what grew? they made more stuff, so gdp increased, but people starved because they made stuff people didn't need.
You'd have to seriously back up such a conspiracy theory. If it would be true, Chinese GDP would shrink once they switched economic policy, due to Chinese industries being burden.
Sebastian Rivera
so tell me, how did all those people die? they had food before, but no longer. what changed around that time to cause such a shortage of food, something which is indeed in demand more than concrete or anything else but water
Gavin Perry
The most fundamental reason was that China was an Unindustrialised Agrarian state, which meant that they had a famine every several years due to both random environmental and economic factors.
An important circumstantial factor was that the USSR severed ties, while being instrumental in both modernisation and Chinese economy in general. The USSR also demanded to repay Korean War Loan in full, which was a heavy burden for Chinese economy (And which the Chinese leadership expected to be annulled)
Jace Martinez
>Chinese Planned economy did not fail
>people starved because they made stuff people didn't need.
>You'd have to seriously back up such a conspiracy theory.
Why are you keep defending this shit?? I don't think you're really Chinese, or you could be a genuine 五毛.
en.wikipedia.org
en.wikipedia.org
en.wikipedia.org
Aiden Clark
so you say planned economy was a success, that their economy did great, with high gdp, but somehow they could not convert this economic success into the most basic good desired by people, food
and it was a coincidence that the deaths were around the time of the great leap forward
Josiah Baker
五毛党
Dylan White
>I don't think you're really Chinese
I'm not, but I've met enough Chinese who wouldn't disagree with me.
>so you say planned economy was a success, that their economy did great, with high gdp, but somehow they could not convert this economic success into the most basic good desired by people, food
It converted longterm.
>and it was a coincidence that the deaths were around the time of the great leap forward
No, it's not. Because Great Leap Forward was an emergency reaction to the crisis itself.
Adam Miller
take a look at the plot above then fuck off
Logan Thompson
Ouch. Such a hysterical guy you are.
Jack Jackson
too much centralization, too corrupt
In order for "the people" to obtain any sort of power they need liberty and in Karl Marx's abstractions there is no distinguishing between the individual liberty of ordinary people and the "liberty" of capitalist pig dogs to exploit the proletariat.
Bentley Allen
>Chinese Planned economy did not fail