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Eco- Unemployment

Eco- Unit 3--unemployment

TermDefinition
employed anyone 16 or older working at least 1 hour legally
unemployed anyone 16 or older actively seeking work
labor force anyone 16 or older working legally or actively seeking work
labor force participation rate % of the population 16 or older in the labor force
unemployment rate % of the labor force looking for work
frictional unemployment -person has chosen to be unemployed -people temporarily between jobs; may have quit one job to find another; finding best opportunity after high school or college
structural unemployment -job is eliminated & probably not coming back -people who lack skills or don't have sufficient edu. (new technology comes)
cyclical unemployment arises during a RECESSION due to LAYOFFS & TEMPORARY decrease in demand
full employment only frictional & structural
"actual unemployment" -exists currently in an economy **frictional + structural + cyclical**
Created by: bbell123
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