Labour economics

Economic liberalization and globalization have introduced Indian society to the global market in which India has developed a transnational labour force in technology call centers and an increasing consumer market within major urban areas. Furthermore, through globalization India has experienced large-scale diasporic emigration to European, South East Asian, Middle Eastern, and North American countries. Globalization has drastically altered manner in which labour is organized worldwide. This…

Unemployment What is unemployment? Unemployment is a economic scenario whereby a proportion of the workforce is actively searching for employment but are unable to find work. Whilst unemployment can be broken down into various scenarios (e.g. frictional, seasonal, structural etc.), the main overriding cause of most unemployment is a deficiency in aggregate demand – this can then be divided into these sub-causes: Cyclical changes in domestic and international economic activity is also a factor…

corporations use the economic “advantage” of child labour. This allows corporations and major franchises to save money on production of materials and raw goods. There are many factors that make this a disadvantage as well as an advantage for major companies, such as lower labour costs, lower rent costs in overseas factories but many of these come with the problem of inadequate health regulations and living costs. Many big name companies use this tactic to manipulate economic expenditure for…

The Wealth of Nations (WN) was a pioneering book exploring economic ideas which contradicted those that were in place at the time it was written. Many of the theories outlined are still relevant today. Adam Smith published the WN in 1776, by this time he already had gained a reputation as a notable writer following the publication of The Theory of Moral Sentiments in 1759. The plan of the work is logically structured and provides good summaries of the main themes which follow. The first four…

to a certain spatial-economic equilibrium (Castles & Miller 2003:22). Although the issue of migration has not attracted substantial attention within mainstream economic theory itself (Bauer & Zimmermann 1998:95; Lee 1966:48; Passaris 1989-7), in economics, genral equilibrium theory attempts to explain migration by geographical differences in the supply and demand for labour in economic ideology. The resulting differentials in wages cause workers to move from low-wage, labour-surplus regions to…

In history, there has always been two ways of achieving production, through tradition and command. Both of these systems produce products in a specific quantity. A market society is an economics system that did not follow such methods. A Market society would produce additional products to be sold for the purpose of creating a greater income. This was a quality that previous society did not acquire. The whole system of the market society is unprecedented (Polanyi 167). Unlike the traditional and…

a different economic system in exchange for a substantial economic growth to benefit their own nation. China being ranked 2nd in the world’s largest economy employs a command economy, which means the decisions on production and investment is decided upon the government. In comparison, Australia is a highly developed nation with a mixed market economy, meaning that the economy has a certain degree of planning involving the government, but the private sector dictates most of the economic…

refers to the situation whereby individuals want to work however are unable to secure employment, therefore resulting in the underutilization of an economy’s labour supplies. Measurement Unemployment is measured monthly and is calculated by: Labour force participation rate refers to the percentage of the population aged 15 and over in the labour force that is employed or unemployed and is calculated by: Current statistics and Trends Australia began experiencing high rates of unemployment in…

Smith, the architect of classical economics, is appropriate starting point to understand how economic systems are essential to understanding national development. The wealth gap between countries can be attributed to the divergent national economic histories each nation possesses. Smith equates wealth with economic growth that arises from a growing source of labour and capital stock, increased efficiency in the use of capital and labour through greater division of labour and technological…

There are seven industrial relation foundations outlined by John W.Budd, which include legal environment, economic environment, technical environment, political environment, social environment, business context and institutional context. These industrial relation foundations help us determine the employment outcomes which result from interactions between “employees and employers in the sociopolitical strategic, functional and workplace tiers of the employment relationship shaped by the…