An economic system in which the state owns and controls the means of production is known as

A socialist economy is an economic system in which the state owns and controls the means of production. This means that the government owns and operates businesses and industries, such as factories and farms, and manages the allocation of resources and distribution of goods and services. The goal of a socialist economy is to promote social welfare and eliminate economic inequalities, with the belief that collective ownership and control will lead to a more equal and fair society. In a socialist economy, there is typically little or no private ownership of property, and decisions about production and distribution are made by the government.