steps to solve the problem of unemployment class 9
Answers
Answer:
Suggestions to Solve Unemployment Problem
Following are the suggestions to solve unemployment problem
(i) Change in industrial technique
(ii) Policy regarding seasonal unemployment
(iii) Change in education system
(iv) Expansion of Employment exchanges
(v) More assistance to self employed people
Explanation:
Explanation:
Unemployment is a term referring to individuals who are employable and seeking a job but are unable to find a job. Furthermore, it is those people in the workforce or pool of people who are available for work that does not have an appropriate job. Usually measured by the unemployment rate, which is dividing the number of unemployed people by the total number of people in the workforce, unemployment serves as one of the indicators of an economy’s status.
Unemployment
Looking deeper into unemployment
The term “unemployment” can be tricky and often confusing, but it certainly includes people who are waiting to return to a job after being discharged. However, it does not anymore encompass individuals who have stopped looking for a job in the past four weeks due to various reasons such as leaving work to pursue higher education, retirement, disability, and personal issues. Even people who are not actively seeking a job anywhere but actually want to find one are not considered unemployed.
Interestingly, people who have not looked for a job in the past four weeks but have been actively seeking one in the last 12 months are put into a category called the “marginally attached to the labor force.” Within this category is another category called “discouraged workers,” which refers to people who have lost all their hope of fi come from both the demand side, or employer, and the supply side, or the worker.
From the demand side, it may be caused by high interest rates, global recession, and financial crisis. From the supply side, frictional unemployment and structural employment play a great role.
Effects
The impact of unemployment can be felt by both the workers and the national economy and can create a ripple effect.
Unemployment causes workers to suffer financial difficulties that may lead to emotional destruction. When it happens, consumer spending, which is one of an economy’s key drivers of growth, goes down, leading to a recession or even a depression when left unaddressed.
Unemployment results in lowered purchasing power, which, in turn, causes lowered profits for businesses and leads to budget cuts and workforce reductions. It creates a cycle that goes on and on and on. Everyone loses in the end.
Long-term unemployment vs. Short-term unemployment
Unemployment that lasts longer than 27 weeks even if the individual has sought employment in the last four weeks is called long-term unemployment. Its effects are far worse than short-term unemployment for obvious reasons, and the following are noted as some of its effects.
A huge 56% of the long-term unemployed reported a decrease in their income.
It seems that financial problems are not the only effects of long-term unemployment as 46% of those in such a state reported experiencing strained family relationships. The figure is relatively higher than the 39% percent who weren’t unemployed for as long.
Another 43% of the long-term unemployed reported a significant effect on their ability to achieve their career goals.
Sadly, long-term unemployment led to 38% of these individuals to lose their self-respect and 24% to seek professional help.
Final word
Unemployment is a serious social and economic issue that results in a tremendous impact on everything but is often overlooked. A stronger system of assessing unemployment should be put in place in order to determine its causes and how to address it better.
Additional resources
CFI is the official provider of the global Financial Modeling & Valuation Analyst (FMVA)™ certification program, designed to help anyone become a world-class financial analyst. To keep advancing your career, the additional CFI resources below will be useful:
Labor Force KPIs
Remuneration
Sense of Purpose at Work
Small and Medium-sized Enterprises (SMEs)