Unemployment
Unemployment is the term used when no paid occupation (job) for forces capable and suitably qualified to work. This phenomenon is characterized by the fact that part of the population is in search of a job. When this proportion has serious economic problems in the region or state, by increasing social costs of maintenance of the unemployed.
* Unemployment caused by the economic situation during the recession (economic depression) that usually takes 2 – 3 years followed by a period of economic boom with lower unemployment. “Seasonal unemployment, which usually increases during the months when seasonal work is not required (for eg in gastronomy, or personnel serving tourists).
Chronic unemployment is a serious unemployment in periods when no economic boom rather not markedly reduce the number of unemployed.> This can be structured in cases namely due to necorespuzătoare qualifications requirements, age, health or lack of desire to work due aplasarea of other regions in job or a salary (wage) low. Another cause of chronic unemployment is changing the economic structure through the emergence of new technologies that reduce employment or not existing properly qualified. This automation can remember in history are known Tesatorilor actions that destroy machinery in manufacture, although the long term, as automation has increased the purchasing power of the population, reflected in increasing the quantity and diversity of goods and services purchased, which means increased demand on the labor market (more jobs).
Economic literature has two categories of unemployment:
Voluntary unemployment is unemployment that type which describes a situation in which people able to work do not want to work in the overwhelming majority of situations, as have sufficient resources;
Involuntary unemployment (forced) describes a situation in which people capable of work they wish to engage, but found no jobs available. This type of unemployment is one that raises social issues, the only form accepted for payment of unemployment allowance in accordance with Law 76/2002 on the unemployment insurance system and stimulating employment. Involuntary unemployment is a negative side effect of labor law, which creates barriers to entry into the labor market demand for labor (employment), which has the consequence of an excess supply of labor (involuntary unemployment).
Barriers that prevent the meeting of supply and demand on the labor market:
* The minimum wage is imposed a lower limit of the salary set by law. Prevent entry jobs for people who are willing to work under the limit, forcing them to remain unemployed. Real wage growth over the minimum required at the lowest price tender, has the effect of rising unemployment:
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* Limiting the number of angajatori.Cu few exceptions, labor law does not allow individuals to become employers as a barrier to the labor market by the fact that they blocked a lot of jobs that would be entered into direct competition with those offered by companies trade, with positive effects on employees and the unemployed.
* Compulsory social security contributions. Access to the labor market (employment law) of any citizen is subject to purchase social insurance through mandatory contributions paid from income. Refusal of an employee to buy insurance is penalized by removal from the labor market.
* Certification training. Conditional on possession of a diploma in the appropriate skills to operate a national, required by labor law is a barrier to entry into the labor market for people who have self-knowledge, skills and abilities necessary to engage in the economic.
[edit] Measures to combat
1. Unemployment caused by economic juncture, when demand is reduced economic market may be through a flexible fiscal policy to balance the losses caused by reduced sales.
In this U.S. policy is more flexible in comparison with Europe, if this policy is applied rationally to exclude the possibility of repetition of the day Black Friday on Wall Street U.S. on 25 October 1929, when he broke a world economic crisis that led to the bankrupt banks , devaluing the currency.
This course is not so intense has been observed since 1970 and in Germany where high taxes, increasing unemployment and high wages, which makes the high prices of German products could not compete with those produced cheaper in other countries.
2. A measure to combat structural unemployment, is the establishment of flexible wage rates through better cooperation between unions and management companies, as rates are adjusted depending on the rate of inflation.
Method extension school students and early retirement of employees turned out for a long period as an expensive and neeficace. Another measure to reduce unemployment was the creation of service shorter than 8 hours in order that a post should be occupied by two employees.
3. Active policy measures to reduce unemployment are:
* To new employees is a time trial, while receiving a lower salary, flexibility of working time, ease of disposing of employment rates and wage flexibility as the economic situation
* Training and unemployed trenarea the way and must seek employment
* Integration into the process of living in the country and a foreign nationality
* Raising skill levels and training schools
In many cases, active measures have the effect of increasing the number and intensity of barriers on the labor market, unemployment stressing.
Elimination of all barriers on the labor market (the specific labor law), would result in the elimination of any form of involuntary unemployment, increasing competition between employees for the best jobs (wages and working conditions above), increasing competition between employers for the best employees, the effects of an increase in labor productivity, reducing bureaucracy, increasing real incomes of the general population and will stimulate people’s desire to educate.
