SKILL-BUILDER:

Is there a time in your life when you

wouldn’t be worried if you

didn’t have a job? When? Why?

Unemployed Worker in

Boston, 1972

3.2: Unemployment

Objective: Explain the conditions necessary to be counted as unemployed and analyze the four types

Guiding Question: How does the U.S. measure and deal with unemployment?

Conditions for Unemployment

To be considered unemployed you must be:

▪16 years old ▪not working▪actively looking for work

Frictional Unemployment

Moving places or stages in life

A recent graduate looking for a job is

an example of FRICTIONAL

unemployment

Structural Unemployment

Change in demand or new technology

Example: Banktellers who lost

jobs after ATMs were invented

Seasonal Unemployment

Change in time of year causes job loss

This Mall Santa is going to be out of a job on December

26th!

Cyclical Unemployment

Downturn in the economy - recession, depression

This factory was shut down in 1932

because of the Great Depression

Sorting A.______________________ Michael Bloomberg,

the Santa at Oak Court Mall, loses his job on December 26th

B.______________________ Your 13 year old cousin is looking for a babysitting job after school

C.______________________ A 22-year old is looking for a job in New York after graduating.

D.______________________ A FedEx employee loses his job due to the recession in America

E.______________________ A baker loses his job once a new bread-making machine comes out

Seasonal

NOT unemployed

Frictional

Cyclical

Structural