Unemployment

The sum of structural, frictional, and seasonal unemployment when the economy is at full employment.

Frictional, seasonal, and structural unemployment.

Due to the decline of certain industries in specific areas.

Increased crime, family breakdown, increased poverty, social exclusion.

Investment in education and retraining programs.

Stress, loss of income, permanent deskilling, reduced self-esteem.

Discouraged workers and underemployment are not fully captured in official statistics.

Short-term unemployment as workers transition between jobs.

It can lead to a surplus of labour if set above the equilibrium wage.

Unemployed ÷ Labor force × 100

Unemployment due to a mismatch between workers’ skills and job requirements - sectoral, regional and technological.

The percentage of the labor force that is actively seeking work but unable to find a job.

Unemployment caused by a fall in aggregate demand in the economy.

A labour market diagram showing demand shifting inwards or an AD/AS diagram showing a deflationary gap.

People who are employed plus those actively seeking work.

A labour market diagram with a leftward shift in the demand for labor.

It ignores discouraged workers and underemployed part-time workers.

Unemployment due to seasonal changes in demand for labour.

Unemployment not reflected in official figures, e.g., discouraged workers.