4.7 - Employment and Unemployment

Question 1

Employment

Answer 1

refers to the economic use of labour as a factor of production

Question 2

Unemploymnet

Answer 2

Someone is considered to be unemployed if they are not working but are willing and able to find one

Question 3

Labour force

Answer 3

A country’s population is divided into the labour force - & non labour force
- consists of all workers actively working plu the unemployed who are seeking work

Question 4

Full employment

Answer 4

describes the ideal situation when everyone in the economy who is willing & able to work has a job

Question 5

What are the causes of changing employment patterns? (6)

Answer 5

• Structure of the economy: progression through different sectors
• Proportion of women employed
• Formal and informal work
• Proportion of workers in the public and private sector
• Part time and full time
• Work from home

Question 6

ILO labour force survey

Answer 6

An extensive survey sent to a random sample of ≈ 60,000 households every quarter
- Respondents self-determine if they are unemployed based on the ILO criteria

Question 7

The claimant count

Answer 7

Counts the number of people claiming unemployment benefits
- Requires claimants to meet certain criteria & excludes many e.g.
* Those with savings
* People who claim pensions
* Married women who are looking for a job

Question 8

Calculating unemployment rate formula

Answer 8

(no. actively seeking / total labour force) x 100