Write a blog on evils of unemployment
Answers
Answer:
Unemployment is a terrible thing. It’s not just about the loss of income. We know from many studies that unemployment increases depression and family breakdown. Long term unemployed people become increasingly demoralised, lose their ability to work and lose their human capital. So high unemployment reduces future economic output beyond the fact that people are currently not working, a phenomenon economists call hysteresis.
As a school student studying economics, I had my own glimpse of the evil of unemployment. Near where I lived, a town called Corby, almost entirely dependent on jobs in the local steel works was told that the works would shut. The father of a friend of mine, well a girl I thought at the time I was in love with (it was years later before I discovered what real love is, but when you’re young it seems just as intense), was made redundant when the steel works shut and the whole family went to pieces. It was very sad to watch. Corby eventually generated new jobs to replace the closed steel works. When I say eventually, I mean it took 12 years, in a well located town in the booming south of the UK. In a wider European slump it would take far longer.