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Unformatted text preview: tutor2u GCSE Business Studies Labour and unemployment The labour market is where businesses hire workers. A business needs people to help the day to day running of the operation. The amount of labour needed depends on whether the business is a labour intensive or capital intensive. A business that needs more people and less machinery is known a labour-intensive business. Hairdressing, house building, teaching and the fashion industry are examples of labour intensive industries. A capital-intensive industry is where a business relies heavily on machinery and technology in its transformation of inputs into outputs. Good examples include the car industry, steel production and the rail industry. Unemployment is where there are people you are willing and able to work but cannot find employment at the going wage rate. For example a machine worker who cannot get a job because there are no jobs for machine workers in the area. High unemployment, though it can be bad for local sales, can provide a for machine workers in the area....
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This note was uploaded on 05/20/2010 for the course BUSINESS Exertnal E taught by Professor N/a during the Spring '10 term at Open Uni..
- Spring '10