Full Answer Section

Suppression of Individual Rights: The prioritization of collective ownership over individual property rights led to the suppression of individual freedoms and entrepreneurship. This stifled economic growth and innovation.

Resource Misallocation: The central planning system often resulted in misallocation of resources, as the state lacked the information and incentives to allocate resources efficiently. This led to shortages of essential goods and services.

Lack of Transparency: The lack of transparency in economic decision-making made it difficult to hold the state accountable for its actions. This further eroded public trust and contributed to economic instability.

Inability to Adapt to Change: The centralized economy was inflexible and unable to adapt to changing market conditions. This made it difficult to respond to economic shocks and adjust to technological advancements.

Motivational Issues: The lack of private property rights and the absence of a profit motive disincentivized individuals from working hard and taking risks. This hindered economic growth and productivity.

While Marxist theory aimed to create a more equitable economic system, the centralization of power in the state under communist regimes ultimately exacerbated economic inequality. The bureaucratic rigidity, lack of accountability, suppression of individual rights, resource misallocation, lack of transparency, inability to adapt to change, and motivational issues associated with centralized planning created a system that was both inefficient and unjust.