Part 1/9:
The Paradox of Central Planning: Unintended Consequences in Production
In the landscape of industrial productivity, a perplexing phenomenon often emerges: factories producing goods that serve no real purpose or meet actual needs. This inefficiency isn’t merely an isolated incident but reflects a structural flaw within certain economic systems, particularly those lacking competition and proper incentives. The prevalent case study of this challenge can often be traced back to Soviet-style centrally planned economies, where the government dictated production orders without the necessary feedback from consumers.