Unemployment Flashcards
1
Q
Define the hysteresis effect.
A
It’s when unemployed workers find it difficult to find work in the future due to a loss of skills
2
Q
What is unemployment?
A
The number of people able, willing and actively seeking work but not employed.
3
Q
What is underemployment?
A
A situation where people are working fewer hours than they wish.
4
Q
What is structural unemployment?
A
A mismatch of skills between the unemployed and available jobs.
5
Q
What is frictional unemployment?
A
Transitional unemployment due to people moving between jobs.
6
Q
What is seasonal unemployment?
A
When people are unemployed at particular times of the year when demand for labour is lower than usual.
7
Q
What is cyclical unemployment?
A
Involuntary unemployment due to a lack of demand for goods and services.
