Explain the reforms of the government to reduce unemployment in all sectors.
Answers
Explanation:
Policies for Reducing Unemployment – Key Themes
Boosting human capital - education and training - a long run strategy to make the workforce more employable and to raise the level of labour productivity
Lower employment taxes to increase labour demand - for example, a reduction in national insurance contributions
Stimulus to demand from both the public and private sector - keeping aggregate demand high to drive the creation of new jobs
Improved export competitiveness to provide an injection of demand into the circular flow of income
Improving work incentives - making work pay to reduce benefit dependency and expand the size of the labour supply
Raising the total level of employment is an important aim of labour market policies. The UK economy has seen some success in this regard in the last few years.