Unemployment occurs when people are without jobs and have actively looked for work within the past four weeks. The unemployment rate is measured by dividing the number of people unemployed, over all individuals currently in the labour force. During a recession, the country's liquidity is not at its best. When this occurs, companies do either of the two things: 1) reduce unneccesary expenditure, or 2) reduce unneccesary workforce. This leads to unemployment because the company is in no position to expand, therefore the number of fresh employment positions wouldn't increase.
The effects of unemployment are pretty serious and not only economic, but social too, especially for men. Studies have shown that men who are unemployed feel more depressed and have a lower self esteem. They are less likely to leave less satisfactory jobs This has to do with the stress of them not being able to support their families. Frequently, crime rates rise as people are unable to meet their needs through work. Divorce rates often rise because people cannot solve their financial problems. The rate of homelessness rises, as do the rates for mental and physical illness. Homes are abandoned and neighbourhoods are demolished. The ability of government to provide for people is also seriously compromised. When there is high unemployment and a recession, people pay less in income taxes and also pay less in sales taxes because they purchase fewer goods and services. It's unfortunate, because even the people who remain employed, are affected by recessions aswell.
The effects of unemployment are pretty serious and not only economic, but social too, especially for men. Studies have shown that men who are unemployed feel more depressed and have a lower self esteem. They are less likely to leave less satisfactory jobs This has to do with the stress of them not being able to support their families. Frequently, crime rates rise as people are unable to meet their needs through work. Divorce rates often rise because people cannot solve their financial problems. The rate of homelessness rises, as do the rates for mental and physical illness. Homes are abandoned and neighbourhoods are demolished. The ability of government to provide for people is also seriously compromised. When there is high unemployment and a recession, people pay less in income taxes and also pay less in sales taxes because they purchase fewer goods and services. It's unfortunate, because even the people who remain employed, are affected by recessions aswell.
Unemployment Rate in Canada
No comments:
Post a Comment