Unemployment Video Lecture | Economics for JAMB

Ans. Unemployment refers to the situation when individuals who are willing and able to work are unable to find employment opportunities. It is a measure of the percentage of the labor force that is without a job and actively seeking employment.

Ans. The unemployment rate is calculated by dividing the number of unemployed individuals by the total labor force and multiplying it by 100. The formula is: (Number of unemployed individuals / Total labor force) x 100.

Ans. There are several types of unemployment: - Frictional unemployment: This occurs when individuals are in-between jobs or are searching for their first job. - Structural unemployment: This occurs due to changes in the structure of the economy, leading to a mismatch between the skills of workers and the available job opportunities. - Cyclical unemployment: This occurs during periods of economic downturns when there is a decline in overall economic activity and a decrease in demand for labor. - Seasonal unemployment: This occurs when certain industries or jobs are only available during specific seasons or times of the year.

Ans. Unemployment can have various negative consequences, both for individuals and the overall economy. Some of these consequences include: - Financial hardship: Unemployed individuals often face financial difficulties due to the loss of income and struggle to cover their basic needs. - Reduced consumer spending: When unemployment is high, people have less disposable income, leading to a decrease in consumer spending, which can negatively impact businesses and the economy. - Social and psychological effects: Unemployment can lead to feelings of stress, anxiety, and depression, as well as social isolation and a loss of self-esteem. - Increased government expenditure: Governments often need to provide unemployment benefits and support services, leading to increased public spending and potentially higher taxes.

Ans. Unemployment can have a significant impact on the overall economy. Some of the effects include: - Decreased production: Unemployment leads to a decrease in the total output of goods and services, as there are fewer people engaged in productive activities. - Lower tax revenues: With fewer people employed, tax revenues collected by the government may decrease, affecting public finances. - Increased government expenditure: As mentioned earlier, governments often need to provide unemployment benefits and support services, which can put a strain on public finances. - Reduced economic growth: High levels of unemployment can hinder economic growth as it indicates that resources, such as labor, are underutilized. - Social unrest: Prolonged periods of high unemployment can lead to social unrest and political instability in a society.