3.2- employment and unemployment

Question 1

employment

Answer 1

the use of labour in the economy to produce goods and services

Question 2

unemployment

Answer 2

when workers who are willing and able to work are unable to find employment

Question 3

full employment

Answer 3

when an economy is using most of its workforce

Question 4

economically inactive

Answer 4

people who are currently unable or unable to work

Question 5

claimant account

Answer 5

measures unemployment according to the number of people claiming unemployment benefits

Question 6

level of unemployment

Answer 6

number of people in the working population who are unemployed (1.2 million)

Question 7

rate of unemployment

Answer 7

percentage of an economy’s workforce that is unemployed (3.7%)

Question 8

cyclical unemployment

Answer 8

unemployment due to lack of demand in the market/economy

Question 9

frictional unemployment

Answer 9

time spent between jobs

Question 10

seasonal unemployment

Answer 10

not being employed as it is out-of-season

Question 11

structural unemployment

Answer 11

big changes in industry causes decline due to loss of demand