Theory of Pricing in Socialist Countries-Case of Industrial Producer Goods

Case of Industrial Producer Goods Jaya Mehta In contrast to a market economy, the entire system of prices in a planned economy is determined by the central price-fixing authority In this situation, price theory is expected to provide the basis for constructing a price structure which would lead to the most efficient functioning of the economy This paper attempts to summarise the discussions on pricing especially pricing of industrial goods, in socialist countries.