alt Hacker NewsPlanned economies don’t work great beyond small scopes.
The market does work, but it’s a giant paper clip AI and needs regulation in order to not turn everything into paper clips.
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Even under capitalism there is a lot of central planning at huge scales. Walmart is one American example. Woolworths and Coles are another couple in Australia. These companies aren’t rocketing up at the market each morning and taking the latest price… they are managing supply and pricing end to end for most of what they do in advanced.
All great achievements were result of economic planning.
The moon landing (and the necessary R&D and buildup) wasn't based on market-based economic incentives.
There are multiple examples of advanced high-tech economies built up with the help of central planning married to market forces - basically every East Asian country followed this blueprint.
The USSR was a much more powerful economy than it capitalist successor, even though it wasn't run especially effectively.
City supported housing initiatives produce with extensive public planning and infrastructure investments produce much better results than for-profit developers building the least amount of stuff for the most amount of money.
There are 3 main methods of economic control: profit motive, central planning, and intrinsic incentives. Purist approaches that rely on just one or reject the other tend to have bad outcomes.
Money is power. Markets produce wealth inequality. The richest use their money to buy influence and write the rules. Fundamentally a “regulated market” is an unstable system that eats itself, a fiction.
> Planned economies don’t work great beyond small scopes.
This is a categorically false statement. The Soviets turned the Russian empire from an agricultural backwater with a minority literate populace, into an advanced industrialised state, scientific leader and economic superpower that was on par with the US for decades, a transformation that took place within a span of merely 20~30 years. Planned economies have been demonstrated to have extremely strong potential. Of course, a planned economy is only as good as its planning, and humans are fallible; we have yet to work out a solution to that particular issue.