Business

Definition: The Chronic Unemployment means prolonged unemployment in the economy. In other words, chronic unemployment is caused due to the long-term unemployment persisting in the economy. Often, the underdeveloped economies suffer from the chronic unemployment because of one of the following major reasons: Slower Economic Growth: The economy in its slow growth is … [Read more...] about Chronic Unemployment

Definition: The Disguised Unemployment refers to the work area where surplus manpower is employed out of which some individuals have zero or almost zero marginal productivity such that if they are removed the total level of output remains unchanged. In other words, More workers employed on a single piece of work than actually required is called as the disguised unemployment. … [Read more...] about Disguised Unemployment

Definition: The Technological Unemployment is caused when the individuals lose their jobs due to the technological advancement. Simply, the substitution of manpower with technology results in technological unemployment. It is a form of structural unemployment wherein the structure of the economy changes with the shifts in demand for manpower due to the introduction of new … [Read more...] about Technological Unemployment

Definition: The Seasonal Unemployment means the demand for a specific kind of work and workers change with the change in the season. Simply, the period when the demand for the manpower as well as the capital stock reduces because of a decreased demand in the economy at a particular point in time in a year causes the seasonal unemployment. The seasonal unemployment is … [Read more...] about Seasonal Unemployment

Definition: The Casual Unemployment is when the worker is employed on a day-to-day basis for a contractual job and have to leave it once the contract terminates. Simply, the inevitable time delay when a worker transits from one job to another due to the expiration of previous job contract is called as the casual unemployment. The casual unemployment is prevalent in … [Read more...] about Casual Unemployment

Definition: The Voluntary Unemployment refers to the situation when the worker deliberately chooses not to work because of a low wage scale or not able to find out the suitable employment for him. In other words, the voluntary unemployment is when the person decides not to participate in the labor market, not because of the unavailability of jobs, but because of not finding … [Read more...] about Voluntary Unemployment

Definition: The Cyclical Unemployment refers to the change in the employment rate due to the change in the economic cycle, such as recession and inflation. Simply, the change in employment due to the fundamental shifts in the economy is called as cyclical unemployment. The economy suffers several ups and downs and has a direct impact on the employment rate. During a … [Read more...] about Cyclical Unemployment

Definition: The Frictional Unemployment also called as Search Unemployment, refers to the time lag between the jobs when an individual is searching for a new job or is switching between the jobs. In other words, an employee requires time for searching a new job or shifting from the existing to a new job, this inevitable time delay causes the frictional unemployment. It is … [Read more...] about Frictional Unemployment

Definition: The Structural Unemployment is the situation when the jobs are available, and also the workers are willing to work, but they don’t have the required job skills to qualify for the vacant positions. In other words, a mismatch between the skills that unemployed workers possess and the skills required to perform a job is called as the structural unemployment. The … [Read more...] about Structural Unemployment

Definition: Unemployment is a situation when a person who is able to work and is actively seeking a job but could not find suitable employment for him/her. In other words, people who are without work despite the continuous search for the employment is called as unemployment. It is measured in terms of the unemployment rate, which is calculated by dividing the total number of … [Read more...] about Types of Unemployment