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Features of time and site - all it lies out of conducting Any planned body. These bodies operate, having only small share The necessary information which in many respects becomes inexact already to To the moment of its receipt. Opinion that separate persons or any Committee can have and operate with the information, sufficient that To make correct planned economic decisions in ours quickly The changing world, is error. Coordination of economic entities It is too difficult that it was carried out by any central Planned body. Supporters of planning cite often as an example the Ministry of the external Trade and the industry of Japan (MITI). But successes MITI it is strong Are exaggerated, and its misses are ignored. MITI tried to keep firms
"Mazda" and "Honda" from occurrence in automobile business, without expecting that they
Will sustain a competition: It tried not to allow "Sony" to make
Transistor radio receivers, protected those firms in ship-building and
Mining branches which differ high expenses.
The restrictions established by it on import of meat, citron and others
Agricultural products have compelled to pay the Japanese consumers for
Foodstuff much more, than in others industrially developed
The countries. The success in business has come to Japanese contrary to, instead of thanking
To planning MITI.
State planning in Canada too differs the internal
Inconsistency. The governments of provinces subsidise manufacturers
Tobacco, simultaneously propagandising harm of smoking; pay grants to one
To farmers as the market price for grain does not cover their costs
Manufactures, also subsidise the irrigational projects conducting to increase
Manufactures of grain and to the further decrease in its price in the market; keep
The prices for milk at high level also put into practice programs on
To maintenance of schoolboys with dinners to make expensive milk more
The accessible; installation of stronger bumpers demand to increase
Reliability of cars whereas norms of economy of fuel demand to reduce
Their weight, etc.
Fondly to think that centralised planning promotes
To economic growth. When the enterprises receive more means from
And it is less than government - from consumers, they start to spend more
Time, trying to please politicians, and it is less, - to please
To consumers. It is easy to expect that such waste of public forces
Leads more likely to economic decline, rather than to prosperity.
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