| A&A Morning Glory Learning Sdn Bhd |
Related Links
Effects of High Unemployment In A
Country
Country
Wastage of Resources An economy has limited amount of productive resources, thus unemployment of labour and other resources represents unused, wasted or idle resources that may not direct contribution to the nation’s production. Inequality in Income Distribution Those who are unemployed for a period of time represent a significant group of low income earners in our society. Past savings are quickly exhausted and the capacity for these people to maintain adequate living standards is difficult. Cost to Government Many developed nations like Australia, US, Canada and European countries pay unemployment benefits to those classified as unemployed. The growing cost of this item in the government budget has contributed to growing tax burden for those who are employed. The Opportunity Cost of Welfare The unemployment benefits and subsidies paid to the unemployed could have been paid to somewhere else such as investment in infrastructures, schools, and hospitals. Workers Lose Skills If a person has been unemployed for too long, he may lose skills necessary for re-employment. Thus, the economy has to bear the cost of training these people. Social Cost Unemployment can quickly destroy the ambitions of individuals. People often lose their self-esteem and become disillusion when they can no longer provide for their own needs. As a result, health problems, marriage breakdowns, crimes and vandalism. |
| Copyrights 2005 by A&A Morning Glory Learning Sdn Bhd. All Rights Reserved. |
 | |  | |  | |  | |  | |  | |  | |  |
