Editing Input–output model (section)

===Input–output and socialist planning===
The input–output model is one of the major conceptual models for a [[socialist]] [[planned economy]]. This model involves the direct determination of physical quantities to be produced in each industry, which are used to formulate a consistent economic plan of resource allocation. This method of planning is contrasted with price-directed [[Lange model|Lange-model socialism]] and Soviet-style [[material balance planning]].<ref>{{cite book|last1=Loucks|first1=William Negele|last2=Whitney|first2=William G.|title=Comparative Economic Systems|url=https://archive.org/details/comparativeecono0000louc_c2j3|url-access=registration|date=1973|publisher=Harper & Row|isbn=9780060440459|pages=[https://archive.org/details/comparativeecono0000louc_c2j3/page/178 178–179]|edition=9th}}</ref>

In the economy of the [[Soviet Union]], planning was conducted using the method of material balances up until the country's dissolution. The method of material balances was first developed in the 1930s during the Soviet Union's rapid industrialization drive. Input–output planning was never adopted because the material balance system had become entrenched in the Soviet economy, and input–output planning was shunned for ideological reasons. As a result, the benefits of consistent and detailed planning through input–output analysis were never realized in the [[Analysis of Soviet-type economic planning|Soviet-type economies]].<ref>''Towards A New Socialism'', 1993, by Paul Cockshott and Allin Cottrell. Coronet Books Inc. 978-0851245454. "Planning in the USSR", (P.79)</ref>