In a socialist economy, prices of commodities are determined by

In a socialist economy, prices of commodities are determined by

Answer Details

In a socialist economy, the prices of commodities are typically determined by the central planning authority. This authority sets prices for goods and services based on various factors such as production costs, the needs of the society, and the available resources. The aim is to ensure that prices are fair and affordable for all, while also maintaining the economic stability of the country. Unlike a market economy, where prices are determined by the forces of supply and demand, in a socialist economy, prices are set according to the priorities and goals of the government.