Chapter 7, Economic Control and Totalitarianism Summary and Analysis

A planned economy must be dictatorial. It requires the giving up of certain economic freedoms by people. Lesser freedoms are given up for higher freedoms. Restricting an individual's money income is restricting his freedom. Money gives people choices. Providing them with goods instead of money restricts their choices and, therefore, their freedoms. People don't think of economics values to be of importance because they themselves control those values and decisions. This isn't the case under planning. Individuals would not control those decisions: the planner would. The planner decides which individual goals are attained and which aren't. The planner, in effect, controls the individual's life.

Planning means the individual can only consume the goods that the planner authorizes the production of. There is little freedom of choice in a planned economy. The individual can...