A country in which most major economic decisions are imposed by government and by central planning rather than by free use of markets. Contrasts with a market economy.
an economy that is not a market economy
A national economy in which the government seeks to determine economic activity largely through a mechanism of central planning, as in the former Soviet Union, in contrast to a market economy which depends heavily upon market forces to allocate productive resources. In a "non-market" economy, production targets, prices, costs, investment allocations, raw materials, labor, international trade and most other economic aggregates are manipulated within a national economic plan drawn up by a central planning authority; hence, the public sector makes the major decisions affecting demand and supply within the national economy. See also: Group D, Macroeconomics, Market Economy, Private Sector, Public Sector, State Trading Nations
A term applied to countries with centrally planned economies. NME's are treated differently in antidumping investigations because it is presumed that their domestic prices do not reflect fair market value. In the US, NME's are not subject to countervailing duty investigations.
An economy in which the government, through the use of central planning, makes most economic decisions to control economic activity.