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Unemployment refers to a lack of work. It describes a condition in which a person is unemployed and earning no money. In certain countries, the phrases unemployment and unemployed also describe unemployment.
Unemployed people are defined as having an average age of 18 to 65 years, being eager to work, and seeking employment but not being able to find it.
What is Unemployment
Un Employment is the consequence of a set of erroneous measures by the State, which primarily affects the business and manufacturing sectors. Both political, economic, and social legislation must promote the economic growth of an industry and a country in general.
When it is impossible to promote economic growth gradually, the inability to expand opportunities for industrial development, investment, and competitiveness is generated; therefore, unemployment rates increase.
It is worth mentioning that unemployment affects both the unemployed and companies and organizations.
For this reason, it is essential that all the variables that affect the creation of new jobs be considered and that measures be taken to solve said problem.
However, some governments have developed subsidy plans to help unemployed people. These financial aids vary according to the ratio of the amount of money the person deducted in their active period and their current situation.
However, it is a solution that can negatively affect the problems that caused mass unemployment is not controlled and solved.
Un Employment rate
A high un employment rate implies a series of problems that reduce economic growth and production capacity in general.
In addition, it entails a series of psychological and social effects that produce discouragement, depression, despair, poverty, and suicide, among others, in the unemployed.
The unemployment rate is a significant indicator of other economic, social and political aspects.
Now, the rate calculates as follows: several unemployed/active populations multiplied by 100. The result express as a percentage. It should be clarified that the active population includes all employed and unemployed individuals.
Causes of Un Employment
There are various causes for which unemployment generate. The main reasons for this fact present below.
Misalignment in the labour market is high demand for employment but a low labour supply.
Unemployment is the product of economic crises and various adjustment measures that negatively affect the creation of new jobs.
Insecurity to make significant investments for a company’s physical and productive growth. This implies fewer jobs, competitiveness, and supply of goods and services.
Non-acceptance of the salary offer, in these cases, the unemployed person does not get a job in which they offer the economic conditions they want or need.
Few jobs offers in a specific area or field of work.
Types of unemployment
There are various types of unemployment; the most prominent are the following.
structural un employment
It a type of unemployment generate by the mismatch between the supply and demand of workers. The number of jobs reduce by the number of individuals searching.
For this reason, an imbalance observes in the state economy, which must resolve promptly.
frictional un employment
Frictional unemployment can also known as job hunting. It is voluntary unemployment; in this case, people voluntarily decide to leave their current jobs to find another better job that meets their needs.
It is temporary unemployment until the desired job achieves; therefore, the time it takes for the worker to find another is known as frictional unemployment. It also refers to the search for the first job by the active population
seasonal un employment
Seasonal unemployment refers to the high level of unemployment that occurs at a specific time of the year for various reasons.
For example, in agriculture, un employment increases during the winter; on the contrary, during the fruit or vegetable harvest season, the un employment rate decreases, and labour activity rises again.
cyclical un employment
It consists of the lack of job offers during a specific period, for example, during a process of economic recession, a situation that occurs cyclically in the different economies worldwide.
In this cycle, the percentages of unemployment increase until the economic system reactivates again.
open un employment
Open unemployment characterize by the fact that the unemployed person is of an active age to work, is looking for work, and is available immediately. However, they do not find a job.
More about Un Employment
Un employment is when an individual presents the absence of any work activity. In other words, it is a situation in which a person does not have a job and not link to an employer or activity that produces any monetary profit.
This condition can be classified as involuntary or voluntary since the affected party has total freedom to decide whether or not to carry out work operations. However, there are many forced situations where the person cannot find a job according to their qualities or studies, either due to lack of experience or lack of opportunities.
Unemployment is a social problem that negatively affects the individual and society. By not presenting an inflow of resources, individuals cannot contribute monetarily to their family nucleus, thus causing a decrease in demand and production of goods and services by these families.
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