Causes of unemployment and suggested solutions by Pernille Krog Nyenstad https://padlet.com/pernille10/atp5y8tk113z en-us 2017-01-31 07:16:36 UTC 2026-01-12 00:30:25 UTC hello@padlet.com Definition https://padlet.com/pernille10/atp5y8tk113z/wish/392365918 The worst type of equilibrium unemployment. It occurs as a result of a permanent fall in demand for a particular type of labour. The reason it is so harmful is that it can result in long-term unemployment because people who lose their job in one area lack the necessary skills to take on newly-created jobs. For example geographic mobility. 

]]> 2019-10-02 11:53:06 UTC https://padlet.com/pernille10/atp5y8tk113z/wish/392365918 Solutions rasm965n https://padlet.com/pernille10/atp5y8tk113z/wish/392366975 One solution would be to enhance the occupational mobility of people, so that they become more able to take available jobs.

Another solution would be to educate people to be more flexible with their occupation]]> 2019-10-02 11:55:33 UTC https://padlet.com/pernille10/atp5y8tk113z/wish/392366975 Definition chri54d51 https://padlet.com/pernille10/atp5y8tk113z/wish/392368869 It is natural in many economies for some workers to be employed on a seasonal basis. That is, the demand for certain workers falls at certain times of the year. For example, in temperate climates where there is a cold winter there may be unemployed construction workers or farmers. The tourism industry tends to work in seasonsfor example, there is not much call for a ski instructor in Austria in July.

]]> 2019-10-02 12:00:49 UTC https://padlet.com/pernille10/atp5y8tk113z/wish/392368869 Definition chri54d51 https://padlet.com/pernille10/atp5y8tk113z/wish/392369357
This is the short-term unemploy-
ment that occurs when people are in between jobs, or they have left education and are waiting to take up their first job. This type of unemployment is easily recognizable as natural unemployment as it is natural for people to leave jobs in the hopes of finding better ones.

]]> 2019-10-02 12:02:06 UTC https://padlet.com/pernille10/atp5y8tk113z/wish/392369357 Definition: nina45601 https://padlet.com/pernille10/atp5y8tk113z/wish/392369460 Real wage unemployment occurs when wages are set above the equilibrium level causing the supply of labour to be greater than demand.
In simpler terms, companies are not interested in hiring that many workers, when the minimum wage is too high.

]]> 2019-10-02 12:02:25 UTC https://padlet.com/pernille10/atp5y8tk113z/wish/392369460 Solutions: nina45601 https://padlet.com/pernille10/atp5y8tk113z/wish/392369557 Drop the minimum wage, or reduce the power of trade unions. This is a difficult task however, since the population will most likely see this as a negative thing, and a drop in minimum wage will hit the poorest workers the most.

]]> 2019-10-02 12:02:40 UTC https://padlet.com/pernille10/atp5y8tk113z/wish/392369557 Solutions chri54d51 https://padlet.com/pernille10/atp5y8tk113z/wish/392369612
Such unemployment can be reduced by encouraging people to take different jobs in their off season. The methods mentioned above, reduced unemployment benefits and greater flow of information, are appropriate here as well.

]]> 2019-10-02 12:02:51 UTC https://padlet.com/pernille10/atp5y8tk113z/wish/392369612 Solutions chri54d51 https://padlet.com/pernille10/atp5y8tk113z/wish/392370818 The goverment could make it more attractive to get a job new than to wait on a better on.

If unemployment benefits were reduced, then the unemployed workers might become more willing to work.]]> 2019-10-02 12:06:08 UTC https://padlet.com/pernille10/atp5y8tk113z/wish/392370818 Definition: https://padlet.com/pernille10/atp5y8tk113z/wish/392372166 When in a recession fewer goods and services will be demanded because people, in general, will have less financial resources to purchase these. Therefore, the firms will have a hard time maintaining full employment as they sell fewer goods or services, they will be forced to reduce production.

]]> 2019-10-02 12:09:32 UTC https://padlet.com/pernille10/atp5y8tk113z/wish/392372166 Solutions: https://padlet.com/pernille10/atp5y8tk113z/wish/392372269 To fix this problem the country which experiences this problem will have to reduce taxes in and/or start new projects. The tax part will result in people having a larger disposable income which will result in people spending more money and generating more jobs in production and services. Because the demand rises so will the supply. As for the new projects, if Denmark would create more jobs, they could build a new bridge which will both mean more production in materials and people working to build it.]]> 2019-10-02 12:09:45 UTC https://padlet.com/pernille10/atp5y8tk113z/wish/392372269 General fixes: https://padlet.com/pernille10/atp5y8tk113z/wish/392372404 Monetary policy – cutting interest rates to boost Aggregate Demand (AD is the total amount of goods and services demanded in the economy at a given overall price level at a given time.)
Fiscal policy – cutting taxes to boost AD.
Education and training to help reduce structural unemployment.
Geographical subsidies to encourage firms to invest in depressed areas.
Lower minimum wage to reduce real wage unemployment.
Education and training to help reduce structural unemployment.
Geographical subsidies to encourage firms to invest in depressed areas.
Lower minimum wage to reduce real wage unemployment.

]]> 2019-10-02 12:10:08 UTC https://padlet.com/pernille10/atp5y8tk113z/wish/392372404