Unemployment in the USA
By Simon Wijbaillie
Table of contents
• Terminology• Evolution • Effects• Conclusion: future?
Terminology
• Unemployed• 3 conditions:
– Jobless– Available– Efforts to find a job
Terminology
• Labor force:– 16-65 years old– Employed or seeking
• Use? – Unemployment rate:
unemployed/labor force
Terminology
• Nonfarm payroll employment– Number of working-age persons– Exclusions
• Use?– Gauge health of the economy
Sorts of unemployment• Cyclical unemployment• Structural unemployment
– Qualitative vs. quantitative• Hidden unemployment• Frictional unemployment• Temporary unemployment• Seasonal unemployment• Officially: 8.2% ↔ Reality: 22.5%
Evolution: nonfarm payroll employees
Evolution: unemployment rate (%)
Evolution: long-term unemployed (%)
Effects• Loss of income• Smaller capacity• Attack on wages
– Smaller capacity– Higher premium Social Security– Loss of revenu
• More criminality
Conclusion: future?
• Similar to energy crisis 1979• Indications:
– More nonfarm employment– Higher wages– Decline requests unemployment
benefits• Future is looking good!
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