Confusion among the Planners

Abstract

In an economy where the functions of the State are limited, economic relations are impersonal and individual decisions are made by reference to a framework of prices. A mechanism of this kind cannot be substantially influenced by any one individual. Its study is in the nature of a science. In a community subject to an ‘overall economic plan’ economic analysis is more diffuse and less scientific. An overall plan implies that, in the last resort, one man, or a few, make the decisions for the many. The personal opinions, idiosyncrasies or even prejudices of the Supreme Planners may then become of great importance in determining the form and purpose of the economic system. There may be many different suggested plans since planners tend to be strongly individualistic.¹ The varying conceptions of the overall plan may thus lead, particularly in the early stages of its development, to significant conflicts of ideas.