zero unemployment is impossible normal unemployment rate is 4-6 %
TRANSCRIPT
Zero unemployment is impossibleNormal unemployment rate is 4-6 %.
• Frictional- take time to find a jobExample- graduated 3 months ago and
looking for the right job• Structural- worker’s skills don’t
match the needsExample- drop out of school so you
don’t have the skills to match the jobYou were a secretary and they replaced
you with automated technology.
• Seasonal- industry slows down for a season
Example- yard mowing in the winterWorking at Dollywood in the winter• Cyclical Unemployment- lose job
because of economic down turnExample- construction companies losing
workers because of the housing market during the recession
• Factors outside the economy- Natural disasters, 9/11 terrorist attacks
cost the country almost 2 million jobs
Date National
Unemployment Rate Tennessee
Unemployment Rate Tennessee
Unemployed
August 2014 6.1% 7.4% 222,361
July 2014 6.2% 7.1% 215,882
June 2014 6.1% 6.6% 200,983
May 2014 6.3% 6.4% 193,947
April 2014 6.3% 6.3% 191,926
March 2014 6.7% 6.7% 203,697
February 2014 6.7% 6.9% 209,682
January 2014 6.6% 7.2% 218,663
December 2013 6.7% 7.7% 234,796
November 2013 7.0% 7.9% 239,860
October 2013 7.2% 8.1% 245,492
*
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Item 1950s 1980s 2008
Movie Ticket $.50 $3.50 $8
Loaf of Bread $.16 $.51 $2.50
Average house
$16,000 $100,000 $250,000
Average car $1,800 $6,000 $20,000
Average gallon of gas
$.20 $1 $4
Average salary
$3,000 $16,000 $50,000
Cost of Living Comparison
According to the government who is poor?
A family is poor if their total income is less than the amount required to satisfy the family’s minimum needs.
The Census bureau determines the income level required to meet these needs. This is the poverty threshold.
• Shifts in family structure- single parent families have 4 times the poverty rate as married.
• Location- inner cities, rural areas• Racial and gender discrimination-
poverty rate is twice as high for African Americans and Hispanics. Men make more than women.
• Growth of low skilled service jobs- not as many high paying manufacturing jobs for less educated persons
• Lack of Education- less education/ less money