how do central plans work in a command economy 
communist nations with command economies are prone to introducing multi year plans that are expected to result in improved conditions for all its people china has had no fewer than 14 five year plans with the current one ending in 2025 4central plans generally set goals for each industry and establish strategies for every sector industries are required to participate in government objectives such as reducing carbon emissions or revitalizing rural economies the bottom linea command economy is a system in which a central governmental authority sets permitted levels of production as well as the terms of distribution and pricing it s a component of communist political systems command economies are a contrast to free markets in which prices are determined largely by supply and demand 