The Free essays given on our site were donated by anonymous users and should not be viewed as samples of our custom writing service. You are welcome to use them to inspire yourself for writing your own term paper. If you need a custom term paper related to the subject of Labor Studies or Unemployment, you can hire a professional writer here in just a few clicks.
The term unemployment means to be without a job but actively looking for one. Throughout the years the unemployment rate has fluctuated, this was caused by the changes in aggregate demand for the final product. There are three types of unemployment, frictional, structural, and deficient demand. These types of unemployment and the unemployment rate in general have varying effects on gender and races. Unemployment causes problems for the economy with loses to production, but it also provides benefits, from workers who are able to upgrade their positions and salaries. Frictional unemployment is caused by the normal turnover in the labor market and the time it takes to find a new job. It arises from short-term irregularities in the demand for labor by particular industries, which occur apart from general cyclical fluctuations. An example of workers who experience frictional unemployment are clothing manufacturers, whose services are needed more to produce seasonal clothing. When the season is over there is no longer a need for their services, until production starts for the next season. Structural unemployment occurs when workers lack the required skills necessary for the available positions. Instead of a single labor market, there are a large number of sub-markets for particular jobs that have specialized skills. Structural unemployment occurs mainly because of shifts in the demand for labor, in combination with inflexible wage rates and immobile workers. Deficient-demand unemployment is a case where the demand for labor throughout the entire labor force has decreased. This is a result of inadequate aggregate demand in the economy as a whole. Low aggregate demand for output leads directly to low demand for labor. Employers who need to cut labor costs in response to the low demand of out put must either layoff workers or offer early retirement incentives. The practice of reducing wage rates is usually ineffective. It causes employees to accuse the employer of taking advantage of the temporary decline in demand to pay lower wages. This in turn causes a decline in morale and productivity. Periods of high unemployment lead to recessions. During a recession the full time unemployment rate rises 2 to 4 points, increasing the total number of unemployed by 3 million. With such a high number of the population unemployed it causes a low number of output produced my industries, and with the reduction of income there are less people in the economy spending money. This also leads to a reduction in government income that was received from income tax. One benefit from unemployment is the promotion of some workers who are able to increase their wage and productivity by finding better jobs Unemployment is distributed very unevenly throughout the labor force. Laborers have a much higher likely hood of being unemployed than white-collar workers. The distribution of unemployment throughout laborers is als

Our inspirational collection of essays and research papers is available for free to our registered users

Related Essays on Labor Studies

Adam Smith

The accumulation of capital and the division of labor are what Adam Smith believed to be the driving forces of economic growth in any nation. Smith found that when the division of labor had b...

read more
Afl And Child Labor

What were the impacts of child labor? Late in the eighteenth century, as the first textile mills were being built, one of the earliest factories employed nine children less then twelve years...

read more
Labor Economics And Labor Relations

John Kerrington Economics 330 Reaction Paper #3 Reaction Paper # 3 is based on the Article, “Labor Economics and Labor Relations”, by Loyd Reynolds, Stanley Masters, & Colletta Moser...

read more
Labor Unions

Labor Unions A labor union is as defined in the dictionary, an organization of wage earners formed for the purpose of serving the members' interests with respect to wages and working condi...

read more
Labor Market Analysis

Labor If we’re going to explain why some people earn a great deal of income while others earn very little, we must consider both the supply and the demand for labor. We usually ask our...

read more
The Factors Of Production

Economy is a very crucial topic in every country of the world. Economy plays a major role in people's lives, because it's a part of their will being. Thee major factors of the economy of its ...

read more