Measures To Reduce Unemployment Essay

Present in the economy, unemployment is there when we have workers who are able and willing to work, but do not have jobs, or no jobs are available in the economy. Thus, the total number of people who do not have jobs, plus those who are unemployed, is called the Labour Force. An incentive to register as unemployed would be for the availability of unemployment benefits. Unemployment benefits are transfer payments from the government to the registered unemployed. Seasonal Unemployment is a type of Natural Unemployment. It is inevitable as the economies are constantly changing, to adjust to the changing mix of goods and services demanded. Seasonal unemployment typically works with seasons. There are busy and slacks season depending on the

Since they have more workers due to the holiday season they could decrease that amount of workers in order to maintain the regular pay for their non-seasonal workers. We would assume that they would not lay off any of their regular workers as they have a certain job security. This would affect worker in both the long and short run. In order to maintain the amount of unemployed during that season, the government could intervene by creating jobs for those who will have to transition out of the jobs they currently have. A positive point to this solution is that the division of labour would be spread out more equally and the workers would have a good salary to increase the spending which would increase aggregate demand and supply. This would support growth within the economy, and eventually dip the prices of loans. Then, the rational consumers would increase their spending on other goods and services thus helping the growth in the economy both locally and nationally. A negative aspect to this solution would be the fact that perhaps the government does not have the means to support all of the new employees and perhaps they have different priorities and would rather support another industry other than