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Unemployment

Definition. Unemployment refers to people of working age who are without a job but are actively seeking work and are available to start. They are part of the labour force yet not currently employed, representing an underuse of the economy human resources.

Unemployment imposes costs in the form of lost output, lower incomes, and government spending on benefits. Its main types include cyclical, structural, frictional, and seasonal unemployment, each with different causes and policy remedies.

This term belongs to Unemployment in A Level Economics. Read the full chapter for the diagrams, worked examples and exam technique.

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