Structural unemployment

times of economic downturns, economists have observed that firms tend to layoff workers to compensate for the decrease in demand and skepticism about future profits. These layoffs amongst firms cause an economy to experience high levels of unemployment. Unemployment can be defined as being without work or actively seeking a job within the timeframe of a month or longer. According to the Bureau of Labor Statistics (BLS), the employed and the unemployed compose the labor-force of a given economy.…

Where Unemployment Hits Hardest Downsized. Pink-slipped .Fired or maybe you’re just not having any luck searching for a good job. Unemployment is a hurt that is shared by many Americans. According to the Bureau of Labor Statistics (BLS), the unemployment rate in the month of September was 5.9%. There are certain types of categories that people may fall into that may be considered as unemployed. Unemployment is shared equally by all kinds of people. It does not matter age, race, or even where…

stable, with an increased growth of GDP, an unemployment rate of 4.9 percent and an inflation rate of 1.5 percent (Bureau). There has also been significant growth in other areas of the economy such as the labor force, wages, tourism and personal income. Gross Domestic Product,…

for unemployment is can be illustrated as: Unemployment Rate = Number of Unemployed / Total Labor Force. The United States currently has 154.8 million people in the work force with 11.3 million unemployed. This yields a rate of 7.3% of people being unemployed. This percentage of unemployed people can be seen as a good thing so long as there is no cyclical unemployment which is the unemployment caused by a downturn in the business cycle. Other types of unemployment include seasonal unemployment,…

When William Phillips first published his paper in 1958 on the relationship between inflation and unemployment, called the Phillips Curve, it became a base model for Central Banks globally to help set their monetary policies(Blanchard, 2010). However, in recent years, this inverse correlation between unemployment and inflation has seemed to vanish. As inflation expectations have anchored and unemployment has lowered, the Phillips Curve has flattened(Phillips Curve May Be Broken, 2017). The…

Unemployment refers to the number of people who are not working but seeking work (Dixon and O'Mahony, 2015). In the years following the Global Financial Crisis, the unemployment rate in Australia has been hovering from the 5-6% range (Tradingeconomics.com, 2017), which is in the band targeted by the Reserve Bank of Australia. If the rate of unemployment becomes too high, the economy will be impacted by a myriad of negative economic and social consequences. From an economic perspective, a high…

we need to define the unemployment, according to the ILO, the International Labour Organisation, an unemployed person is someone who is more than 15 years old (the working age), this person need to be jobless, be available within 15 days and finally the last condition is that she needs to be actively seeking for a job. Unemployment…

instabilities, social, economic and mental problems today. Therefore anti-racist theorists form values that welfare is distributed unevenly due to contextual issues, as 15% of New Zealand’s population is Maori, yet they make up 33% of those on the unemployment benefit (Marie, Fergusson & Boden 2011, 15). These challenges make it more difficult for Maori to enter the…

The Great Crash of 1929 led the World into a precipitating economic spiral for ten years. This calamitous decade is known as The Great Depression. The United States had never endured such a detrimental stock market crash as it did in 1929. Unemployment rates rose to unprecedented levels, crime rates skyrocketed and production plummeted. The Great Crash did not only impact the United States, but all western industrialised countries experienced the economic turmoil. This was due to their trade…

order to get out of the last global recession. Both Canada and the United States were affected by financial crisis however; each country took a very different approach to addressing the problem at hand. In US the recession hit hard, very hard. Unemployment peaked at just over 10% for the first time since the early 80s. The US made the decision to implement a multi-trillion dollar stimulus package to aid the economy to bounce back. With the help of the Treasury and the Federal Reserve the…