Answer:
A centrally planned economy and a market economy have several key differences in terms of their economic characteristics.
A centrally planned economy:
Opposes the use of market mechanisms, such as supply and demand, to allocate resources and determine prices.
Encourages centralization of decision-making and control over the economy by a central authority, such as the government or a single political party.
Discourages market competition and private enterprise, as the central authority is responsible for deciding which goods and services are produced and in what quantities.
Tends to prioritize achieving social and political goals, such as equality and fairness, over economic efficiency and growth.
In contrast, a market economy:
Encourages the use of market mechanisms to allocate resources and determine prices.
Encourages competition and private enterprise, as firms compete to sell goods and services and households make decisions about how to allocate their resources.
Discourages centralization of decision-making and control, as the market is allowed to direct economic activity.
Tends to prioritize economic efficiency and growth, as the market mechanism encourages innovation and efficient resource allocation.
In summary, a centrally planned economy opposes the use of market mechanisms and encourages centralization, while a market economy encourages market mechanisms and discourages centralization.