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Unemployment

<p>Unemployment occurs when a person is available and willing to work but currently without work. The prevalence of unemployment is usually measured using the unemployment rate, which is defined as the percentage of those in the labor force who are unemployed. The unemployment rate is also used in economic studies and economic indices such as the United States' Conference Board's Index of Leading Indicators as a measure of the state of macroeconomics.</p> <p>Keynesian economics emphasizes unemployment resulting from insufficient effective demand for goods and services in the economy (cyclical unemployment). Others point to structural problems and inefficiencies inherent in labour markets; structural unemployment involves mismatches between demand and supply of laborers with the necessary skillset, sometimes induced by disruptive technologies or globalisation. Classical or neoclassical economics tends to reject these explanations, and focuses more on rigidities imposed on the labor market from the outside, such as unionization, minimum wage laws, taxes, and other regulations that may discourage the hiring of workers (classical unemployment). Yet others see unemployment as largely due to voluntary choices by the unemployed and the time it takes to find a new job (frictional unemployment). Behavioral economics highlights phenomena such as sticky wages and efficiency wages which may lead to unemployment.</p> <p>There is also disagreement on how exactly to measure unemployment. Different countries experience different levels of unemployment; traditionally, the United States experiences lower unemployment levels than countries in the European Union, although there is variant there, with countries like the UK and Denmark outperforming Italy and France and it also changes over time (e.g. the Great Depression) throughout economic cycles.</p>

Ireland's 'Yes' on Austerity Referendum and Angela Merkel's 'More Europe Not Less'

On 31 May 2012 Ireland held a referendum - the only country to do so - as to whether or not its Government should ratify the Stability Treaty signed by 25 of the 27 European Union (EU) Member States in December 2011 and due to come into effect on 01 January 2013. This is the Treaty which Prime Minister David Cameron representing the UK famously refused to sign, along with the Czech Republic.
Graeme Mackay Jun 07, 2012

Grüße aus Deutschland: Angela Merkel Defender of the German Interest?

Brian Parkin writing for Bloomberg on 24 May 2012, highlighted how Germany's sharp fall in jobless figures over the past few years is not only saving the nation a fortune but enhancing Chancellor Angela Merkel's reputation as a very safe pair of hands. He could have added "and defender of Germany's interests in an increasingly hostile European Union."
Graeme Mackay May 29, 2012

US Cities with Most Underwater Mortgage [SLIDESHOW]

The persistent downturn in the US has taken a toll on mortgage debt in some of the major cities with homes continuing to be underwater about six years after home prices peaked, a recent report reveals.
Sanskrity Sinha May 26, 2012

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