How the U.K. Labour Market Has Changed Over The Last 20 Years :: Employment Unemployment Economics Essays

How the U.K. Labour Market Has Changed Over The Last 20 historic periodThe different types of UnemploymentThere ar many different types of unemployment, these are frictionalunemployment, structural unemployment, seasonal unemployment,classical unemployment, and demand inadequate unemployment.Frictional unemployment is unemployment for a shortly duration of periodas workers move from one job to another. Over the last 20 yearsinformation has improved and people are to a greater extent aware of the availabilityof better paid job, promotions etc and and then they may be moving formjob to job more often hence change magnitude temporary frictionalemployment. Structural unemployment is caused by a lack of capital forgoods and services in the economy or a particular sector. As the complex body part of an economy changes, certain workers may find themselvesmade redundant as their skills are no longer required, or that theregion in which they get does not have enough employmentopportu nities. An example of this is the British ship buildingindustry, which has contracted to the extent that workers with skillsappropriate to this industry either cannot find jobs at exclusively or mustmigrate to find them. Structural unemployment give be affected by thecost and availability of retraining, which would allow people to hire skills which will be useful to them in filling the vacancieswhich are addressable. The ease of relocation within the country willalso have an effect on structural unemployment. As the economy movesaccording to the business cycle, thither are booms and breaks, andthis is reflected in output and unemployment over the last 20 yearsstructural unemployment has fluctuated consequently due(p) to the lack ofcapital, with recession in the archean 1990s and high structuralunemployment and booms in recent past with low structuralunemployment. The lack of employment at this time is due to the lackof money to invest and expand, and as a result output is gre atlyreduced. However, presentlyadays, unlike the past 20 years, credit is nowavailable much more easily for companies through banks and buildingsocieties so not as many employees are affected by structuralunemployment. hire deficient unemployment is caused by a lack of demand. Keynesbelieved that unemployment had more to do with the goods market thanthe labour market. Low demand in the goods market would mean low boilers suit output, and therefore low demand for labour, over the last 20years, demand has raised overall hence demand deficient unemploymentwill reduce. During times of recession there is very little output andnot many people are needed in the workforce. This leads to highunemployment levels. This situation arose in the late mid-eighties and early1990s, when there was a recession.How the U.K. Labour Market Has Changed Over The Last 20 Years Employment Unemployment Economics EssaysHow the U.K. Labour Market Has Changed Over The Last 20 YearsThe different types of Une mploymentThere are many different types of unemployment, these are frictionalunemployment, structural unemployment, seasonal unemployment,classical unemployment, and demand deficient unemployment.Frictional unemployment is unemployment for a short duration of timeas workers move from one job to another. Over the last 20 yearsinformation has improved and people are more aware of the availabilityof better paid job, promotions etc and hence they may be moving formjob to job more often hence increasing temporary frictionalemployment. Structural unemployment is caused by a lack of capital forgoods and services in the economy or a particular sector. As thestructure of an economy changes, certain workers may find themselvesmade redundant as their skills are no longer required, or that theregion in which they live does not have enough employmentopportunities. An example of this is the British ship buildingindustry, which has contracted to the extent that workers with skillsappropriate to th is industry either cannot find jobs at all or mustmigrate to find them. Structural unemployment will be affected by thecost and availability of retraining, which would allow people toacquire skills which will be useful to them in filling the vacancieswhich are available. The ease of relocation within the country willalso have an effect on structural unemployment. As the economy movesaccording to the business cycle, there are booms and recessions, andthis is reflected in output and unemployment over the last 20 yearsstructural unemployment has fluctuated accordingly due to the lack ofcapital, with recession in the early 1990s and high structuralunemployment and booms in recent past with low structuralunemployment. The lack of employment at this time is due to the lackof money to invest and expand, and as a result output is greatlyreduced. However, nowadays, unlike the past 20 years, credit is nowavailable much more easily for companies through banks and buildingsocieties so not as ma ny employees are affected by structuralunemployment.Demand deficient unemployment is caused by a lack of demand. Keynesbelieved that unemployment had more to do with the goods market thanthe labour market. Low demand in the goods market would mean lowoverall output, and therefore low demand for labour, over the last 20years, demand has raised overall hence demand deficient unemploymentwill reduce. During times of recession there is very little output andnot many people are needed in the workforce. This leads to highunemployment levels. This situation arose in the late 1980s and early1990s, when there was a recession.