The Key Concepts in Economics
“Unemployment & Our Economy”

Zarina Gilchrist
Professor Denalane, Economics 100
November 20, 2015

Upon doing my research, I viewed several different articles about our economy and the effects in the United States. The articles I read in USA Today & Buzzle, discusses several different areas of our economy and lack of growth such as our Fiscal Crisis, Unemployment, Outsourcing, Reduction In the Output, Reduction in Tax Revenue, Rise in Government Expenditure, and Iraq and Afghanistan Wars. In my paper, I will discuss unemployment. I will elaborate on its types, the causes and effects on our economy and the consumer.
According to the definition of unemployment according to Investopedia states, unemployment occurs when a person who is actively searching for employment is unable to find work. It also states, unemployment is often used as a measure of health in the economy. The most frequently cited measure of unemployment is the unemployment rate. This is the number of unemployed persons divided by the number of people in the labor force.
The U.S. economy has slowed significantly in the recent years. According to an article from USA Today, the unemployment rate dipped to 5.1%, the lowest since April 2008, when the jobless rate was 5%, according to data from the U.S. Bureau of Labor Statistics. The economy created 173,000 new jobs last month. Many would tend to believe that the uncertainty of the future economy has been an important factor for years. This paper will explain the types of unemployment and the effects it’s had and currently has on our economy.
In a recent New York Times article, “A rising number of manufacturers are canceling new investments and putting off new hires because they fear the paralysis in Washington will force hundreds of billions in tax increases and budget cuts in January,