Introduction
Unemployment is known to be a certain number of the workforce, is temporally out of a job or an activity, which provides a human being the means of giving basic necessities like housing, finance etc.
During the 2009 recession, the unemployment rate in the entire globe had reach to new highs as stock markets hit a nosedive in the economy. The most effected areas, which resulted with huge downturn, is the European Union (Spain, Austria, Netherlands, Greece etc). Here are the different theories of unemployment and the theory, which matches the current unemployment scenario of the European Union (Active, 2014) (Andreou, 2014).
Theories of unemployment
Many Economists have devised various theories concerning unemployment. These are the theories, which are normally used in various studies of unemployment- Classical unemployment, cyclical or Keynesian unemployment, structural unemployment, Marxian unemployment and frictional unemployment(Krugman and Wells, 2006).
Classical unemployment- unemployment occurs for various reasons. In this case, they are three norms that describe the theory of classical unemployment: the wages becomes higher than the production outputs the unemployment can be decreased if the independent cash wages condensed into more plunging normal wage flexibility (voluntary unemployment) (Davidson and Matusz, 2010), no demand by the consumer in the market. They have been by many noble economy laureates that the factor of government raising unemployment issues in certain countries. For example, the government advances law, which increases minimum wages and increases the cost of the laborers with few abilities above the market requirement, raises the unemployment where they accept the rate but canno...
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The basic definition of unemployment is without work. In macroeconomics, unemployment has a very precise definition and different types of unemployment. Unemployment is defined as the total number of adults (aged 16 years or older) who are willing and able to work and who are actively looking for work but have not found a job. (Miller 140).
"SOCY 151 - Lecture 12 - Marx's Theory of History." Open Yale Courses. N.p., n.d. Web. 31 Mar. 2014.
As different issues relating to global financial crisis and its effect on employment in European Union were brought up in the article, this report aims to analyze the unemployment situation and inflation in Europe with the aid of economic theories. In the report, the following aspects have been considered: consumer prices and how they affect inflation, unemployment and how it is related to inflation and finally,...
To Marx, history d... ... middle of paper ... ... 67 Jon Elster, Making sense of Marx, Cambridge University press 1985 C.Slaughter, Marxism and the class struggle, New Park Publications LTD 1975 Tony Bilton, Kevin Bonnett, Pip Jones etc.. Introductory Sociology 4th edition, Palgrave Macmillan 2002 Gregor McLennan, The Story of Sociology Ken Morrison, Marx Durkheim Weber, Sage publications LTD 1995 Fulcher&Scott, Sociology 2nd edition, Oxford university press 2003 --------------------------------------------------------------------- [1] German Ideology, pp.8-13 [2] Karl Marx: Selected Writings in Sociology and Social Philosophy, p.150, Pelican books 1963 [3] ibid, p107 [4] Karl Marx: Selected Writings in Sociology and Social Philosophy, p.177, Pelican books 1963 [5] Essential writings of Karl Marx; p176; Panther Books Ltd ,1967
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Unemployment does not only affect the person themselves, but it affects the entire family as well. Some people deal with a loss of a job the same way people deal with a divorce or a death of a loved one. Unemployment can cause different emotions such as stress, anxiety, fear and most of all depression. It creates low self-esteem and makes you want to isolate yourself from others. Unemployment can cause violence in the family and the economy. Some people cope with unemployment quite well by setting goals. Setting goals while b...
Unlike Durkheim and Weber, Marx is capable of convincing a prognosis of the “modern condition”.
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Inflation and unemployment are two key elements when evaluating a whole economy and it is also easy to get those figures from National Bureau of Statistics when you want to evaluate it. However, the relationship between them is a controversial topic, which has been debated by economists for decades. From some famous economists such as Paul Samuelson, Milton Freidman etc to some infamous economists, this topic received a lot of attention. However, it is this debate that makes the thinking about it evolve. In this essay, the controversial topic will be discussed by viewing different economists’ opinions on that according to time sequencing. But before started, it is worthy getting a better understanding of the terms, inflation and unemployment.
Mouhammed, A. H. (2011). Important theories of unemployment and public policies. Journal of Applied Business and Economics, 12(5), 100-110.
Due to increase in competition for jobs and wide availability of labor, the cost of labor decreases significantly. Those who are employed will be severely affected in case of a rise in unemployment in the economy. Noticeably, reduction in wages and salary leads to decrease in the amount of tax collected on the income. This further hinders the scope of availability ...
The most common causes of unemployment are getting fired and layed off for specific reasons. People might get layed off if a company is going out of business or maybe if there are positions in the company that are no longer needed. It’s difficult to find a job right away after being fired. Companies don’t want to hire someone who has just been fired for reasons such as failure to do a sufficient job, not showing up to work, stealing, etc. It’s also hard to find a job instantly after being layed off. In some cases the economy is down and it is hard to find any work in general.
Lower GDP for the economy also one of the consequences of unemployment in current time. High rate of this issue implies the economy is operating below full capacity and inefficient so that it will lead to lower output and incomes. Because people who are searching for their work usually will spend less in purchasing goods and