Unemployment has always been a problem in society where money, and therefore a source of money, are essential for survival. Those individuals who are not able to find work are left without resources and capital with which they can support themselves or a family. Unemployment acts as a negative influence on the economy as it displays a lack of productivity. However, it cannot be avoided. Some forms of unemployment will always exist, even in the most productive society, and the system today actually encourages some people to remain unemployed. Desires to increase productivity, numbers of jobs, and number of people working do not always translate into lowering the unemployment rate. In this paper I will try to explain what this unemployment rate is and how forces in the economy affect it.
A "simple" ratio is used to define the unemployment rate. The ratio is simple, but the set-up is not. Let the total population be the number of people sixteen years or older.…
