A characteristic of centrally planned economies is that

A) the price is relatively unimportant in allocating resources.
B) profits are the main measure of success of a firm.
C) entrepreneurship is quite prevalent and highly rewarded.
D) there are many incentives for innovation and hard work.

Centrally Planned Economies

Economic models in which all decisions about what to produce and how to distribute goods and services are made by the government or a central body.

Resource Allocation

The process of assigning and distributing available resources to various uses in the most efficient way.

Innovation

The process of creating new products, processes, or ideas that bring value to society, businesses, or individuals.