ipl-logo

The Pros And Cons Of Centralization

667 Words3 Pages

Money is a big part of our world. You need it for most actions in society, and it has been like this for most if not all of time. Economy has changed throughout time, particularly after 1900. All around the world, different economic policies were being put in place. One notable example would be the Soviet Union. The Soviet Union had a centralized state controlling their economy, which led to strong economic growth and increase in infrastructure. This was not without problems however. The centralization led to economic growth. Central planning allowed the government to coordinate economic activity all across the country. The economic growth helped with industrialization. The centralization led to increased infrastructure. Centralization allowed the Soviet government to accurately use resources while working on multiple infrastructure projects. All these economic benefits weren’t without issues, however. The centralization leads to some problems. Central planning leads to multiple issues, including inefficient work and a lack of innovation.

The centralization led to economic growth. Central planning allowed the government to set production targets and coordinate economic activity …show more content…

The government's control over the economy allowed it to prioritize infrastructure projects and direct resources towards them. By coordinating these projects, the government could ensure that resources were being used efficiently, that projects were completed on time and within budget, and that infrastructure was developed where it was needed most. For example, the government could invest in projects that were critical for the country's defense or that would facilitate the movement of goods and people across the country. This approach allowed the Soviet Union to develop a comprehensive network of infrastructure that connected the country's regions and supported economic growth. Smart decisions in infrastructure will make your people

Open Document