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unemploymen expand - unemployment caused by recurring...

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TOPIC 9 1. Define Unemployment the percentage of people 16 years or older in the labor force who are without jobs and are actively seeking jobs. 2. the civilian labor force People 16 years or older who are either employed or unemployed, excluding members of the armed forces and people in institutions total population? causes unemployment? When total spending falls, businesses will find it profitable to produce a lower volume of goods and avoid unsold inventory Not in Labor Force .Armed forces. Household workers.Students Retirees Persons with disabilities Institutionalized Discourage workers Civilian labor force =employed and unemployed Unemployed New entrants .Re- entrants .Lost last job .Quit last job. Laid off Employed e mployees Self- employed 2. Identify the types of unemployment Seasonal unemployment: unemployment
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Unformatted text preview: unemployment caused by recurring changes in hiring due to changes in weather conditions ● Frictional unemployment: unemployment caused by the normal search time requires by workers with marketable skills who are changing jobs, entering, or re-entering the labor force. ● Structural unemployment: caused by a mismatch of the skills of workers out of work and the skills required for existing job opportunities. ● Cyclical unemployment: unemployment caused by the lack of jobs during a recession. 3. Explain full employment situation in which an economy operates at an unemployment rate equal to the sum of the frictional and structural unemployment rates. It is also called the natural rate of unemployment and it changes over time, but today it is considered to be about 5...
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