-people on working age, out of work, willing and able to any work. Those claiming benefit at Unemployment Benefit Offices on the day of the monthly count and satisfy the conditions for claiming benefit workforce rises, world-wide pattern(1nation cant opt out)
pop44.5unem7.9%1.5M11%+0.86F4.5%(1.7looking full+0.5part)Inact6M10.5F(wants2.2), fulltime13M6Fpart1M5Fgov.train0.25.march+6.8k. 1.5%GDP. Mostly young and men(reduced). LTerm falling0.97m. Cheat UK counting
Benefits rise with inflation not earning
0-unemployment + no expansion available, causes inflation.
Job subsidy lowers MRP, expensive and hard to administer
Hysterics-UE higher than at previous tr. cycle
USA and Japan less coz tax cuts and budget deficit-Philips
world-wide pattern(1nation cant opt out)
Full>vacancies=out of work.
1. Frictional - between jobs (women returning)
3. Residual (natural) - people registered, but unwilling to work (sick)
4. Structural - decline in an industry (coal, steel)
5. General, cyclical(trade cycle)- general depression in economy
6. Technological - inevitable
7. Regional - Northwest high difference diminishes
1. Deficiency of aggregate demand- Keynes, demand pull, Fiscal and protectionism
2. rise in social security benefits, harder to make redundant-structural and frictional
3. high exchange rate(ERM)
4. USA depression.
5. Oil prices(4x1973, 1978)
7. Government policy(inflation main)
8. uncompetitiveness&Inflexible S-cons, less
a. welfare payments
b. direct taxation
d. employee and trade union, no wage floors an min. wage(EC
1. failure of market forces - slow, clever people will move, bad situation left
2. Cumulative decline - trade union history
3. Inflationary pressures if national measures (fiscal policy) taken
4. social costs included
1. Inefficient units of production
2. Destroys comparative adv.
1. workers to the work - relocation grants. Congestion in popular areas, people left behind worse off.
2. work to the workers - expensive, not effective with multiplier.