Meaning of the word "planned economy" in English

What does "planned economy" mean in English? Explore the meaning, pronunciation, and specific usage of this word with Lingoland.

planned economy

US /ˈplænd ɪˈkɑːnəmi/
UK /ˈplænd iˈkɒnəmi/

Noun

an economic system in which the government controls the means of production and distribution of goods and services

Example:
Many communist countries historically operated under a planned economy.
The transition from a planned economy to a market economy can be challenging.