Unemployment and Employment Flashcards
Unemployment
a person between the ages of 15-64 who is able to work, wishes to work and is looking for work but cannot find a work or become self-employed
2 kinds of unemployment definitions(describe)
expanded (includes persons not looking for a job or trying to become self-employed.)
Strict (include persons actively looking for work or trying to become self-employed.
Employment
engagement of the factors of production called labour in the productive activity for which they receive remuneration.
employment rate calculation
-Employment rate = Employment/population
two reasons for unevenly distributed population
migration between provinces is unavoidable
urbanization
people move to certain areas in search of: (3)
economic opportunities
employment opportunities
better living conditions
better climate
Urbanization
movement (migration) of people from rural to urban areas
according to the official unemployment definition (StatsSa) someone is unemployed when (30
- they did not work for seven days prior to the survey
- person wants to work and is available to work within a week of the survey
- person has looked for a job four weeks prior to survey
according to expanded definition someone is unemployed if:
-person did not work seven days prior to the survey
- wants to and can work within a week of the survey.
calculate unemployment rate
number of unemployed / total EAP
types of unemployment(4)
frictional
cyclical
structural
seasonal
frictional unemployment
when a person is between jobs/or looking for a job for the first time
Cyclical
result of cyclical changes in an economy. (eg during a recession many people may lose their jobs)
Structural
when structure of economy changes and certain skills are no longer needed in the economy
Seasonal
when workers in a particular job are only needed in a certain part of the year. Common in agriculture and hospitality industries.