Macro 8- Types, causes, measures and costs of unemployment

• Labour force survey umemployment based on ILO standards
• Labour force survey features broader spectrum of the population quarterly basis voluntary + involuntary unemployment more accurate
• Claimant count claiming Job seeker's allowance
• Seasonal unemployment people are unemployed at particular times of the year when demand for labour is lower than usual
• Frictional unemployment the result of workers searching for new employment
• Cyclical unemployment demand for goods and services in an economy decreases forcing companies to lay off workers
• Structural unemployment involuntary unemployment caused by a lack of skills
• Demand side factors that affect unemployment consumer confidence investment business cycles monetary policies
• supply side factors that affect unemployment technology Education and training
• geographic immobility when factors of production can't reach the producers who would use them due to geographical/physical barriers
• Occupational immobility When factors of production currently involved in one sector or industry cannot efficiently be used in another industry where they are demanded
• event abroad affecting level of unemployment trade relations and tariffs exchange rates energy prices global financial crisis migration
• economic cost of high levels of unemployment fall in economic output fall in consumer spending fall in tax revenue increase in government spending
• Benefits of unemployment workers work harder to keep jobs Workers have time to search for the best job firms have greater choice