| A | B |
|---|
| Stagflation | The simultaneous occurance of high inflation and unemployment |
| underemployment | When workers hold jobs that do not fully utilize their skills or that employ them only part-time when they want to work full time |
| Hidden Employment | Unemployed +Discouraged workers |
| Labour Force Population | Population aged 16 and older |
| Tha Participation Rate | The perecentage of the working-age population who are in the labour force |
| Full Employment | Also known as the natural rate of unemployment |
| Frictional Unemployment | Occur when people are temporarily between jobs or looking for a first job |
| Unemployed | Members of the labour force who do not have a job and are looking for one |
| The Rate of Unemployment | (Number of people Unemployed / Labour Force) * 100 |
| Seasonal Unemployment | Unemployment due to changes in the climate and other seasonal conditions |
| The Labour Force | U + E |
| The Phillips Curve | A graphical illustration of the relationship between unemplyment and demand-pull inflation |
| Structural Unemployment | Occurs when consumer demand changes; thus, some inductries grow while others shrink |
| Labour Induced Unemployment | As unions successfully negotiate higher wages and fringe benefits for its members, it becomes more expensive for firms to have the same amount of workers. They hire less workers |
| Cyclical Unemployment | Results from a reduction n overall consumer spending during the declining economic activity of the business cycle |
| The Employed | Everyone with a job (full time or part time) |
| GDP Gap | Lost output from labour resources sitting idle |
| Government Induced Unemployment | Occurs when the government adopt restrictive policies |
| Replacement Unemployment | Results as firms move labour intensive production to other countries where labour rates are lower |
| Technological Unemployment | Results from industries using more technology in the production process as it may be more profitable, thus reducing the need for workers |
| Discouraged Worker | Those who would like to work but have stopped looking because they believe nothing is available to them |
| Fiscal Policy | Influencing the economy by the government through its power of taxation and spending |
