UNEMPLOY

-MENT
MACROECONOMICS
 GROUP MEMBERS
Lailatus Sharifah Alfiah Isnaini Wira Masrur
(08) (07)
 Table Of Contents
01 02
Definition of Unemployment Types of Unemployment

03 04
Measuring Unemployment and Unemployment Factors
Unemployment Rate

05 06
Impact Of Government Policy
Unemployment
 DEFINITION
Unemployment is situation where a person actively searches
for employment but is unable to find work.
 Types of Unemployment Based on Causes TYPES Types of Unemployment Based on Their
Characteristics
1. Cyclical Unemployment
Cyclical unemployment occurs due to economic changes. 1. Open Unemployment
2. Technological Unemployment This unemployment is created as a result of the increase in job
Technology certainly continues to develop and change. Apparently, vacancies which is lower than the increase in labor.
this can affect a person's work status, you know. 2. Hidden Unemployment
3. Frictional Unemployment In many developing countries, it is often found that the number of
Frictional unemployment is a term to describe the phase when you workers in an economic activity is more than is actually needed so
are unemployed because you have not found a new job that meets that it can carry out its activities efficiently.
your expectations. This
3. can be
Seasonal the part of the presentation
Unemployment
4. Conjunctural Unemployment This unemployment
where you can introduce is mainly yourself,
found in thewrite
agricultural and fisheries
Conjunctural unemployment is someone who loses their job due to a sectors. your email...
decline or weakening of a country's economy 4. Half Unemployment
5. Structural Unemployment In developing countries, emigration or migration from villages to
Structural unemployment is a type of unemployment that occurs cities is very rapid.
due to changes in the economic form of a region or country.
Measuring Unemployment
and Unemployment Rate
The Formula:
Labor Force = Number of people working + Number of people not working

Unemployment Rate = (Number of unemployed / Labor Force) x 100

Labor Force Participation Rate = (Labor force/Adult population) x 100

EXAMPLE For example, to calculate these values, let's use the data in the
diagram above. In 2018 there were 124 million people who
worked and seven million people who did not work. Therefore,
the value of the labor force is:
Labor Force 124+7 = 131 million
Meanwhile, the unemployment rate is:
Unemployment Rate (7/131) x 100 = 5.3 %
Because the adult population is 194 million, the labor force
participation rate is:
Labor Force Participation Rate = (131/194) × 100 = 67.5
percent
Thus, in 2018, two-thirds of the entire adult population in
Indonesia participated in the labor market and 5.3 percent of
the participating number did not work.
UNEMPLOYMENT FACTORS

1. Decrease in Output and Total Expenditures

2. Supply is not proportional to labor demand

3. Time Required to Find a Job

4. Technological Changes Technology

 IMPACT OF UNEMPLOYMENT
1. Difficulty finding a new job
A survey by Indeed found that telling employers you’re unemployed might not help your odds of getting hired.
2. Limited negotiating power
A job seeker who currently has a job can approach an employer with salary and benefit expectations.
3. Employement gaps
A noticeable gap on a resume can sometimes send the wrong signal to employers.
4. Physical health issues
One reason unemployment can negatively affect one’s health may be an inability to afford doctor’s visits.
A University of Nevada study reported that people with jobs are four times more likely to have access to
healthcare than people who are unemployed.
5. Mental health issues
The University of Nevada’s findings are particularly illuminating.
6. Less overall satisfaction
To further understand unemployment, researchers in Germany collected and analyzed data from men and
women over a 20-year period, starting in the subjects’ early 20s.
 GOVERNMENT POLICY

the government has issued many policies to empower

Micro, Small and Medium Enterprises (MSMEs),
including through the financing sector or related
installations. In particular, through the government, the
government has issued programs including MSME loan
programs, small investment loans (KIK) and permanent
working capital loans (KMKP) and all of them with
low interest rates.
THANK YOU
ANY QUESTION?