UNEMPLOYMENT

CURRENT EVENT: UNEMPLOYMENT NEWS

Watch the following two videos, and answer the questions that follow on a blank note document.

Is pouring water in a South Korean restaurant a full-time job?

!

And what about the workers who varnish your nails?

!

 Up to now, the government has classified the work as only part time. 

But as it tries to cut the unemployment total, the job titles, and the job market, is

changing.

Video

Question: !

What does it mean to be “unemployed”?

Question: !

Why do you think governments strive to lower the number of people who are unemployed?

!

In other words, why is lowering unemployment an economic goal?

3 GOALS OF MACROECONOMICS:

1. Economic Growth 2. Full Employment 3. Economic Stability

UNEMPLOYMENT:The state of

wanting a job, but being

without a job.Unemployment is often used as a

measure of the health of the economy.

UNEMPLOYMENT RATE:The most frequently cited measure of

unemployment. !

This is the number of unemployed persons divided by the number of people in the

labor force.

Unemployed PeopleUnemployment Rate =

Total Labor Force

CLASS PRACTICE:Calculate the unemployment rate on the island of Fiji, where there is a total

labor force of 340,000, and a total number of 30,000 unemployed people.

Unemployed PeopleUnemployment Rate =

Total Labor Force

WHAT’S A HIGH UNEMPLOYMENT RATE?4% is considered to be a “good” level of unemployment. Thus, anything above this could have negative impacts on a country.

Click on the link below to see of list of countries by employment rate…

(Note that Zimbabwe has an unemployment rate of 70%)!

FIND SOUTH KOREA’S UNEMPLOYMENT RATE.

IN OR OUT OF THE LABOR FORCE?

Should everyone without a job be counted as

unemployed?

NOT IN THE LABOR FORCE:1. Children (dependents) 2. Full-Time Students 3. Elderly or Retired 4. People in Prison 5. Long-term Sick or Disabled 6. Stay-at-home Parents 7. Active Military (non-civilians) 8. People not looking for jobs

IN THE LABOR FORCE:1. Employed civilians 2. Unemployed civilians

Unemployed civiliansEmployed civilians

Civilian: a person not in the armed services or the police force.

LABOR FORCE:People who are willing and

able to work.

Unemployed civiliansEmployed civilians

A PROBLEM WITH CALCULATING THE UNEMPLOYMENT RATE:

Part-time workers are part of the labor force, but are usually not counted

towards the total number employed. More specifically, they are classified as

“underemployed.”

DISCUSS WITH YOUR NEIGHBOR:

What are problems that result from high unemployment?

ACTIVITY: WHO ARE YOU!?

Are you: !

1. Employed and in the Labor Force 2. Unemployed and in the Labor Force 3. Not in the Labor Force