Unemployment

what is unemployment?

Unemployment is a term referring

to individuals who are employable
and actively seeking a job but are
unable to find a job.
 TYPES OF
UNEMPLOYMENT
1. Demand deficient unemployment
2. Frictional unemployment
3. Structural unemployment
4. Voluntary unemployment
 CAUSES OF
UNEMPLOYMENT
(i) Caste System
(ii) Slow Economic Growth
(iii) Increase in Population
(iv) Agriculture as a Seasonal Operation
(v) Fall of Cottage and Small Industries
(vi) Inadequate Irrigation Facilities
(vii) Immobility of Labour
 EFFECTS OF UNEMPLOYMENT
The impact of unemployment can be felt by both the workers and the
national economy and can cause a great effect.
EFFECTS OF UNEMPLOYMENT ON AN INDIVIDUAL
Unemployed individuals experience reduced income as a direct result of not
having a job. Because a job provides wages for the person, being unemployed
takes away these wages and leaves the individual with less available income.
Unemployment can also have a significant impact on a person's physical health.
Being unemployed is a highly stressful situation, so it may cause stress-related
health issues such as headaches, high blood pressure, heart disease, etc,.. These health
issues often result in increased visits to a doctor and increased use of medication to
manage the health conditions.
EFFECTS OF UNEMPLOYMENT ON SOCIETY AND ON ECONOMY
The impact of unemployment also reaches out to the community and society in which the
unemployed person lives. While one unemployed person will typically not have a significant
impact on society, High unemployment rates in certain areas often lead to higher
poverty rates that amplify the societal impact of unemployment.
In addition to effects on the individual and societal levels, unemployment also directly
impacts the economy as a whole. Unemployed persons also experience a reduced
purchasing power which can leave other individuals who create products that were
purchased by these individuals without jobs as well.
 SOLUTIONS
Societies try a number of different measures to get as many people as possible into work.
Increases in the demand for labour move the economy along the demand curve, increasing
wages and employment. The demand for labour in an economy is derived from the demand
for goods and services. As such, if the demand for goods and services in the economy
increases, the demand for labour will increase, increasing employment and wages.There are
many ways to stimulate demand for goods and services. Increasing wages to the working
class is one theory that is proposed. Increased wages are believed to be more effective in
boosting demand for goods and services than central banking strategies, which put the
increased money supply mostly into the hands of wealthy persons and institutions.
INITIATIVES BY THE GOVERNMENT
1. Intergrated Rural Develonpment Programme [IRDP]
2. Training for Self-Employment
3. Prime Minister's Integrated Urban Poverty Eradication
Programme [PMIUPEP]
4. National Rural Employment Guarantee Act
5. Employment Assurance Scheme
THANK
YOU
Economics
Economics

ECONOMICS