Socialist calculation debate

Socialist calculation debate is a debate about how a socialist economy should be run. In a socialist economy, the government owns and runs the industries instead of private owners. The debate is about how to decide what to produce in a socialist economy. In a capitalist economy, the prices of things are determined by the market and businesses make decisions on what to produce based on this. But in a socialist economy, the government makes all the decisions, so the debate is about how the government should decide what is produced.