Discuss the major taken by government.
How to convert the disguised unemployment into productive human resource?
Answers
Answer:
Explanation:
Disguised unemployment exists when part of the labor force is either left without work or is working in a redundant manner such that worker productivity is essentially zero. It is unemployment that does not affect aggregate output. An economy demonstrates disguised unemployment when productivity is low and too many workers are filling too few jobs.
PART OF
Guide to Unemployment
ECONOMY GOVERNMENT & POLICY
Disguised Unemployment
By JULIA KAGAN Reviewed by ERIC ESTEVEZ Updated Feb 17, 2021
What Is Disguised Unemployment?
Disguised unemployment exists when part of the labor force is either left without work or is working in a redundant manner such that worker productivity is essentially zero. It is unemployment that does not affect aggregate output. An economy demonstrates disguised unemployment when productivity is low and too many workers are filling too few jobs.
KEY TAKEAWAYS
Disguised unemployment is unemployment that does not affect aggregate economic output.
It occurs when productivity is low and too many workers are filling too few jobs.
It can refer to any part of the population that is not employed at full capacity.
Understanding Disguised Unemployment
Disguised unemployment exists frequently in developing countries whose large populations create a surplus in the labor force. It can be characterized by low productivity and frequently accompanies informal labor markets and agricultural labor markets, which can absorb substantial quantities of labor.
Disguised, or hidden, unemployment can refer to any segment of the population not employed at full capacity, but it is often not counted in official unemployment statistics within the national economy. This can include those working well below their capabilities, those whose positions provide little overall value in terms of productivity, or any group that is not currently looking for work but is able to perform work of value.
Another way to think about disguised unemployment is to say that people are employed but not in a very efficient way. They have skills that are being left on the table, are working jobs that do not fit their skills (possibly due to an inefficiency in the market that fails to recognize their skills), or are working but not as much as they would like.