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Solnce55 [7]
3 years ago
6

Distinguish between the narrow and expanded definition of unemployment

English
2 answers:
Marizza181 [45]3 years ago
6 0

Unemployment rate can be measured in two ways, narrow unemployment rate and expanded unemployment rate.

<span>The "narrow unemployment rate" used for the people who are unemployed and actively seeking work, while the people who are unemployed and available to work but have not taken active steps to look for work are referred to the "expanded unemployment rate".</span>

Greeley [361]3 years ago
5 0

Narrow unemployment refers to a situation when unemployed people are actively seeking for job, while expanded unemployment is when unemployed people available for work have not taken any active measures to look for jobs.  

<h2>Further Explanation </h2><h3>Unemployment </h3>
  • Unemployment is when people who are able and qualified for jobs who are looking for jobs are unable to find work. Additionally, people who are available and qualified for various jobs do not have jobs.
  • Unemployment is measured using unemployment rate which is determined by dividing the number of unemployed individuals with total number of people in the workforce.
  • The rate of unemployment is one of the factors that shows the economic status of a country.
<h2>Types of unemployment  </h2><h3>Voluntary unemployment  </h3>
  • This occurs when individuals decides to quit a job since they fill their current job is not fulfilling their need financially.
<h3>Frictional unemployment </h3>
  • Occurs when individuals leave their job because they have been fired or because the job doesn’t suit their qualifications but have not got another new job.
<h3>Structural unemployment </h3>
  • It occurs when the skills of certain workers does not match the skills demanded by the available job. It is as a result of a mismatch between the skills required by employers and the skills by job seekers.
<h3>Cyclical unemployment </h3>
  • It occurs due to changes in the economy which causes a decrease in demand of goods and services such that companies have to cut their expenses by laying off large number of workers, so as to maintain their profit.  

Key words: Unemployment, Unemployment rate

<h3>Learn about:  </h3>
  1. Unemployment rate calculation: brainly.com/question/12680640
  2. Cyclical Unemployment: brainly.com/question/11786076

Level: High school

Subject: Business  

Topic: Economics  

Sub-topic: Unemployment

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