Does full employment mean no unemployment? The answer is no. When the economy operates at full employment, unemployment remains. The unemployment rate is not zero. Why not zero percent? Only the cyclical unemployment rate is zero
Unemployment
Employment: Indicators, Importance, Policies to Achieve Full Employment
What's it: Employment refers to the condition of having paid work, as in the Cambridge Dictionary. We also use it to refer to the number of people who have a job (Cambridge Dictionary) or the extent to which a labor
Labor Force: Components, Why it Matters
What's it: Labor force refers to the share of the working-age population currently employed and those actively looking for work. The working-age population usually refers to those aged 16 to 64 years. However, in some countries, the
Labor Force Participation Rate: Formula, Influencing Factors, Impact
What's it: Labor force participation rate is the labor force's proportion to the working-age population. The labor force consists of working-age individuals who are currently employed and those who are not yet employed but are actively
Hidden Unemployment: Types, Causes, Effects on the Economy
Hidden unemployment refers to people who are unemployed, but not reflected in official unemployment rates. It includes those who stopped looking for work due to discouragement and those who worked but were underused. Sometimes, the term
Discouraged Workers: Meaning, Reasons, Impacts
Discouraged workers are people of working age who stop looking for work. They usually stop looking because they are discouraged after not finding a job. Because they are not actively looking for work, these people are excluded from the
Unemployment: Meaning, Types, Causes, Impacts
Unemployment represents people in the labor force who currently do not have work but are actively looking for a job. Unemployment consists of frictional, structural, seasonal, and cyclical unemployment. Why unemployment condition
Frictional Unemployment: Meaning, Causes, Solutions
Frictional unemployment occurs when unemployed workers yet find a suitable new job. It takes time for workers when they move from one position to another, mainly for higher-paying jobs. And, for graduates, as they enter the labor force,