Final answer:
In centrally planned economies, industrial and agricultural employees often faced low wages and a lack of factor payments, leaving them vulnerable during economic downturns and industry contractions. Without diversified skills or adequate government support, these workers were at risk of prolonged unemployment or the necessity to accept low-skilled, low-paying jobs.
Step-by-step explanation:
Industrial and agricultural employees in centrally planned economies often experienced low wages and a lack of factor payments. Factor payments refer to the income received by owners of production factors—land, labor, and capital. Employees in these sectors commonly found themselves in jobs with very low wages, which were industry specific, making it difficult for them if they became unemployed. Without a diversified skill set, workers like these often had few options other than to accept low-skilled, low-paying jobs, or to remain unemployed.
Moreover, during economic downturns and industries' contractions, such as those experienced in the 1930s or the 1970s, factories would cut wages or lay off workers. This situation led to unemployment or underemployment, with prolonged periods without adequate compensation, as seen with factory or farm workers who might lose their jobs due to international competition or technological advances. Governments that neglect investment in education, healthcare, and social welfare exacerbate these issues, leaving working populations vulnerable and without the necessary support.
Ultimately, a centrally planned system that failed to provide adequate factor payments contributed to a cycle of poverty and an inability to advance economically for many industrial and agricultural employees, contrasting the principles of freedom and control over work that existed in previous artisan and farming practices.