Essay by ms24texUniversity, Bachelor's May 2004

download word file, 6 pages 4.3

A person, who is looking for work and is willing to work at the existing wage but is unable to find a job is said to be "unemployed". Unemployment refers to the state of being unemployed. It also refers to the number or proportion of people in the working population who are employed. In other words, it is merely people who are out of work. This is, however, a generalization statement as it is much more complicated than that. There are many different types of unemployment, which should be taken into account. There are also many factors and issues that come into play. When we speak of unemployment, we are speaking of the population as having three components. One is those who are unemployed, second is those who are employed and then the rest, who don't work and are not looking for a job. Together they comprise the labor force, which is used to determine the unemployment rate.

The unemployment rate is a ratio that is obtained by dividing the number of unemployed people by the number of people in the work force. The rate of unemployment is a fraction that is less than one. It is usually expressed as a percent. For example, the unemployment rate in the past year ranged from 5 percent to 7 percent, which is much higher than the low percent of 3.9 percent in Oct 2000. Although our economy has grown since the year 2000, it hasn't been strong enough to create jobs and keep unemployment from rising. The current slow growth will generate very few jobs and will lead to unemployment to rise even more. There are many factors that contribute to the rise of the unemployment rate in this nation. Some factors would include government regulations such as minimum wage laws, ordinary...