Unemployment

Question 1

Where’s unemployment rate

Answer 1

4.2%

Question 2

Ho is the unemployment rate formulated

Answer 2

Through a labor force survey

Question 3

Who conducts the labor force survey

Answer 3

Office for national statistics

Question 4

Why cant the survey be trusted

Answer 4

Normally there is 100,000 that participate in the survey, however this survey only had 15,000 people participate in it showing that the figure may be inaccurate and potentially higher

Question 5

Whats the wage rate

Answer 5

5.6%

Question 6

Why is wage rate increasing?

Answer 6

Due to more people inactive (20–22.1%), as labour is a derived demand and there not being a lot due to inactiivty. thus lso people in work have high wage bargaining power, also due to inflation as well

Question 7

Why is wage growth a positive

Answer 7

1) Wage growth is greater than inflation (5.6%>3.2%)
Higher purchasing power for consumers

Question 8

Why is wage growth a negative

Answer 8

1) Higher inflatio demand for goods and services
2) Employer/Business’ costs increase and thus may pass on these costs to underlying consumers.

Question 9

Youth Unemployment (16-24 years old)

Answer 9

11%

Question 10

Consumer Confidence

Answer 10

Low