THE "PLANNING APPROACH" IN PUBLIC ECONOMY.

The article examines whether rational distribution of resources and free choice to consumers are possible in an interventionist economy that is not completely planned. In terms of economic theory, the tools of analysis by the concept of collective demand offers the best means of treating. The main issue is whether collective interventions, in terms of the general theory of value, can be analyzed and whether the conditions for rational consumer's choice can be met in a government intervention. Furthermore, it is concluded that the mechanism of government by free agreement must be available if democratic government rests upon the proposition that government must be conducted with the free agreement.