Why should you be concerned about rising unemployment?

Answer 1

Employment rates largely depend on gross domestic product being produced and its relationship to demand. When products are largely demanded the response by manufactures is to increase production therefore increasing the rate of the employment of individuals needed to meet the demand. When the demand goes down for products not as many employees are needed in production which is shown as a rising unemployment rate.

Answer 2

There are many factors that contribute to rising unemployment. Among them are:

1) Outsourcing by companies from areas of employment to improve their bottom line..

2) Lack of consumer's confidence, causing them to save instead of spending.

3) Business anxieties of government actions regarding taxation, regulations, etc.

4) Economy tanking causing stress on Wall Street and therefore investors reluctant to invest.

5) International crises that implicate exporting, competition from overseas, etc.

6) Higher business costs ( increased minimum wages, health benefits, pension plans, turn over rates, payroll taxes, etc.)

7) New workers coming into the work force (graduating, Immigration, underemployment)

8) Jobs not being created fast enough to handle the supply of labor.

Answer 3

Rising unemployment is often a reflection of the financial status of the government, and if those who are unemployed are seeking payments for unemployment while they are seeking jobs and employers who simply aren't employing them government must provide them with the money to sustain their families while they desperately search. All the meanwhile, the money that is being given out adds to uncontrollable expenditures which serve only to increase the national debt. The debt and interest rates may only be kept at bay if the tax percentage on individuals rises.

Answer 4

A slowing economy means less demand for goods and services. Since most companies are in business to make money, when demand goes down, they lay off people and people entering the workforce find it more difficult to find a job - hence increasing unemployment.