The effect of low unemployment rate on business is that the productivity of business will fall, and the effect of high unemployment rate on business is that the productivity of business will raise.
<h3>What is unemployment rate?</h3>
The unemployment rate refers to the state of being unemployed. The unemployment rate is derived by dividing the total number of people in the labor force by the number of people who are jobless.
The labor force is the total number of people who are employed and unemployed. A low unemployment rate has the impact of lowering business productivity, whereas a high unemployment rate has the effect of increasing business productivity.
Therefore, the unemployment rate is defined as the state of being unemployed.
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