4.5 Unemployment

In this chapter you will learn how to:

• define the meaning of unemployment
• explain the difference between the economically active and the economically inactive population
• explain the difference between the level of unemployment and the rate of unemployment
• calculate the rate of unemployment
• explain how unemployment is measured
• consider the difficulties of measuring unemployment
• analyse the causes and types of unemployment: frictional, structural, cyclical, seasonal and technological discuss the consequences of unemployment.