Macroeconomics in Unemployment
Kimberly G
Business, Government & the International Economy
January 23, 2013 Abstract
Macroeconomics in Unemployment
With the economy struggling unemployment is a term that we have come to hear far too often over the past several years. Everywhere you turn millions of people are struggling to find some type of work. Those that are jobless find often themselves losing their sense of self respect, purpose, and income. Many of them will have their homes and cars repossessed. Sadly enough it is not just the individuals themselves that are hurt, their families also struggle along with them. Many people in today’s society think that unemployment does not affect them. The sad truth is that unemployment affects everyone on several different levels. The government is affect by benefit to be paid out and loss of tax earnings, businesses are affected by less spending, the unemployed face loss of ability to survive, and in general every working individual has to pick up the expenses through their taxes (McClelland & Macdonald, 1998).
What is Unemployment and The Causes
To understand how unemployment affects society one must first understand what defines a person as being truly unemployed. Unemployment is defined as when individuals do not have a job and they are able, willing, and seeking some form of work (Tucker, 2001). Not everyone that does not have a job is included in the unemployment numbers. Some of these people include full time students, retired people, and the disabled, and those that are not actively seeking work. Then there is the discourage worker. These are people that want to work and were once seeking employment but have all but given up. Most of these workers will end up having to get help from family, friends, charities, and public welfare to survive (Tucker, 2001). Thus this makes it hard to place a true number on