June 2, 2016. Imperative Planning -the planning authority decides about every aspect of the economy to the minute details, sets targets and administer its implementations.
What is the meaning of indicative planning?
Indicative planning is a form of national economic plan- ning in which a target is set for the growth of national output over a series of years, usually about five. The figures are thus an ‘indication’ of how the economy is expected to develop.
What is inducement planning?
Planning by inducement is often referred to as ‘indicative planning’ or ‘market incentives’. In such type of planning, the market is manipulated through incentives and inducements. Accordingly, in this system there is persuasion rather than compulsion or deliberate enforcement of orders.
What is difference between indicative planning and imperative planning?
in the case of imperative planning market mechanism is entirely replaced by a command hierarchy, while in case of indicative planning . it is looked upon as a way to improve the functioning of market system.
What are the advantages of indicative planning?
Indicative planning attempts to combine the advantages of decentralization and central planning. Growth in an economy may lag because of pessimistic expectations: firms do not expect other firms to invest, and do not feel that market prospects make it profitable for them to invest.
What is perspective planning?
Perspective planning is a blueprint regarding the objectives and targets of long run growth. The perspective plan is not just a plan, rather to attain certain objectives and targets; the perspective plan is divided into certain smaller plans.
What are the three types of planning?
There are three major types of planning, which include operational, tactical and strategic planning.
