Domestic Problems and Polices (Unemployment and Education and Development)
Domestic Problems and Polices (Unemployment and Education and Development)
Domestic Problems and Polices (Unemployment and Education and Development)
t
refers to a situation where
a person actively searches
for employment but is
unable to find work.
Unemployment is
considered to be a key
measure of the health of
the economy.
Types of Unemployment
Unemployment—both voluntary and
involuntary.
When unemployment is voluntary, it
means that a person left their job
willingly in search of other employment.
When it is involuntary, it means that a
person was fired or laid off and must now
look for another job.
Categories of Unemployment
Frictional Unemployment
This type of unemployment is usually
short-lived. It occurs when people
voluntarily change jobs.
Is the
Is thevariation
variation in the
in the number
number of unemployed
of unemployed workers workers over
over the course
of
theeconomic
courseupturns and downturns,
of economic upturns such as those
and related tosuch
downturns, changes
as
in oil price.
those relatedUnemployment
to changes in rises
oil during
price. recessionary
Unemploymentperiodsrises
and
declines during periods of
during recessionary economic
periods andgrowth.
declines during periods of
economic growth.
It comes about through a
technological change in the
structure of the economy in which
labor markets operate.
Technological changes can lead to
unemployment among workers
displaced from jobs that are no
longer needed.
Causes of Unemployment
Over population
Over production
of labor force
Inability to take
on available jobs
When a country becomes
overpopulated, it gives rise to
unemployment as there are fewer
jobs to support a large number of
OVERPOPULATION people. The rise in unemployment
gives rise to crime, such as theft,
as people want to feed their
families and provide them basic
amenities of life.
OVER PRODUCTION OF LABOR FORCE
For example, Philippines is producing too many
nursing graduates, to a point that supply of nursing
graduates exceeds its effective demand. This can be
seen by the fact that there are 2,000 nursing schools
with an annual total enrollment of over 420,000
students, yet hospitals can only absorb less than 5,000
nurses each year while overseas opportunities are very
limited.
OVER PRODUCTION OF LABOR FORCE
This has resulted in around 400,000 licensed nurses
who are not gainfully employed, with 80,000 board-
passers joining the ranks each year. As shown in this
case, the direct result of inefficient allocation of human
resources leads to high unemployment rates as a
particular job market is unable to support the huge
supply of the population. Therefore, college graduates
with the appropriate degrees are unable to find work
consistent with their course.
One of the most prominent factors
contributing to unemployed people in the
Philippines is a deficiency in essential skills
and abilities. It is not necessarily your fault
if you are unable to find employment
INABILITY TO TAKE because your skills do not match what
ON AVAILABLE JOBS employers need; rather, it is a sign that
you lack adequate education or training
for a certain role. If you are unable to find
employment because your skills do not
match what employers need, it is not your
fault.
Measures in Solving Unemployment
To solve the unemployment problem, a
production technique focusing on the needs and
Change in Industrial means of the country should be adopted.
Technique: Capital-intensive technology should be replaced
by labor-intensive technology.