Explanation
Centralized planning refers to an economic system where a central authority, usually the government, makes decisions about the allocation of resources and production targets.
The first country to adopt a system of centralized planning was the Soviet Union (USSR) after the Bolshevik Revolution of 1917. The Soviet Union established a command economy, where the government controlled all aspects of the economy, including production, prices, and distribution.
India did adopt centralized planning after independence, with the establishment of the Planning Commission in 1950. However, India's planning system was based on a mixed economy model with a significant private sector presence, unlike the Soviet model which had no private sector.
China also adopted centralized planning after the Communist Revolution in 1949, with the establishment of a planned economy known as the "socialist market economy."
The United States, on the other hand, has never had a system of centralized planning, as it has always been a market-oriented economy with a relatively limited role for government intervention.
