6-Economics-Macroeconomics-Economy-Employment

employment

People have jobs {employment}|. Full employment is impossible. Need for unskilled labor always decreases over time. Automation displaces workers. People can be training or retraining. Business cycles change demand. Industries have different productivities. Unit-cost increase is greater near full capacity. Time lags delay reaching full capacity.

frictional unemployment

Job changing, automation, and retraining can cause unemployment {frictional unemployment}.

full employment

Everyone that wants to work can be working {full employment}. At full employment, increasing product-1 production causes decreasing product-2 production.

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6-Economics-Macroeconomics-Economy

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Date Modified: 2022.0225