Home ScienceSocial SciencesEconomics Subscribe to RSS

Explain The Types Of Economic Controls?

Answer Question

1 Answer - Sort by: Date | Rating

    The economic controls are of the following types.
    Demand and supply controls:
    The demand side controls are those one which restrict demand. While the supply side controls are aimed at restricting supply.  The demand further divided into the demand for the consumer goods, for intermediate goods, for stocks and for exports. Again, the supply is further divided into factors for production, for stocks and for imports. Therefore, the demand side controls are concerned with production and stocks.

    Specific controls:
    The controls may be for specific good and for the specific factors of production. As if the government is aimed at imposing control on wheat, it can be imposed at production stage as well as at distribution stage. In first case, it is production controls; while in second case it is distribution control. The licenses are issued in respect of use of fertilizers at production level. Again, if in a country, there is a shortage the capital, the capital will be provided to more important to all industries under direct controls.

    Various controls:
    They consists of controls over investment, over foreign exchange and over foreign trade etc. they are imposed with the administrative measures like licenses, rationing quota system, capital issue control and basically to control the foreign exchange etc.
    0 0

    Abdullah06  

    answered 3 years ago

      More

         
         

        Ask a Question via Twitter

        Send a question to @askblurtit and we will publish it online and send you a reply everytime you receive an answer.

        Blurtit Store

        Get T-shirts, hoodies, caps and more at the Blurtit store

        Blurtit International