Essay Example: Unemployment


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Marcelle and other citizens are facing cyclical unemployment. The economy has entered into a recession. During this period the country’s GDP contracts, firms decrease production and demand for labor decreases. For example, during 2009 the unemployment level In the US was quite high because of the economic recession. The unemployed workers take long to get jobs. As the economy recovers the unemployment rate declines and during the economic boom the unemployment rate is at the lowest level (Lumen Learning). Marcelle should be offered unemployment benefits because she is actively looking for a job, but the economy is not creating adequate opportunities.

Dominic is facing frictional unemployment. This form of unemployment occurs when a person has voluntarily left one job and is looking for a new job. During this period Dominic should not receive unemployment benefits because she voluntarily resigned (Amadeo). She should have saved some money before deciding to quit her job. Offering Dominic unemployment benefit may encourage her to stop looking for a new job.

Francine is facing seasonal unemployment. This type of unemployment decreases during a given period of the year due to change in climatic conditions. For example, demand for jobs in the tourism and agricultural sector change according to seasons (Amadeo). Francine should not be offered unemployment benefits because she is not actively looking for a job. She has exited the labor market and will rejoin during winter.

Beauvoir is facing structural unemployment. She is unemployed due to a change in technology. Her skills are obsolete and should be retrained to get a new job (Lumen Learning). She should be offered unemployment benefits because she is willing to work, but the changing technology is making her skills irrelevant.

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