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The solution to the economic problem is the allocation of scarce resources by government, or an agency appointed by the government. This method is referred to as central planning, and economies that exclusively use central planning are called command economies. In other words governments direct or command resources to be used in particular ways. For example, governments can force citizens to pay taxes and decide how many roads or hospitals are built.How to solve the economic problem is the shortage of resources allocated by the Government or an agency appointed by the Government. This method is called planning and economic centre that used only centralized planning, it is called a command economy. The Government, in other words the direct commands to be used in a particular format. For example, the Government can force people to pay taxes and decide how many roads or hospitals that were created.
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