Overview of

Study Item-2

Speaker : SAIF HASAN

ID : 20201053101
 • A person is out of job
Voluntary because of his own desire to
not to work on the prevalent
or prescribed wages.

• A person is separated from

remunerative work and
devoid of wages although he
Involuntary is capable of earning his
wages and is also anxious to
earn them.
 Types of Unemployment
Natural

Structural
Frictional
Involuntary
Involuntary
Cyclical
Unemploy
Cyclical
ment

Voluntary
Classical Long Term

Underemployment Seasonal
Seasonal
 Natural Unemployment is the minimum unemployment rate
resulting from real or voluntary economic forces.

Frictional Unemployment is when workers leave their old jobs but haven't
yet found new ones. Most of the time workers leave voluntarily, either
because they need to move, or they've saved up enough money to allow them
to look for a better job.

Structural Unemployment refers to a mismatch between the

jobs available and the skill levels of the unemployed. Structural
unemployment can keep the unemployment rate high long after
a recession is over.
Cyclical Unemployment is the component of
overall unemployment that results directly from cycles of economic
upturn and downturn. Unemployment typically rises during recessions
and declines during economic expansions.

Long-term Unemployment occurs for those actively looking for a job

for over 27 weeks. The effects are devastating. Many employers overlook
someone who's been looking for that long. The emotional and financial
costs can be very damaging.

Seasonal Unemployment refers to the time period when the demand

for labor or workforce is lower than normal under certain conditions,
however, such a situation is only temporary and employment reverts to
normal thereafter.
 Classical Unemployment is also known as “real wage
unemployment” or “induced unemployment.” It’s when wages are
higher than the laws of supply and demand would normal in order.

Underemployment occurs when a person does not work full time or takes
a job that does not reflect their actual training and financial needs. That is,
their job doesn't use all their skills and education, or provides less than full
time work. This is not the same as unemployment.
 Effects of Unemployment

Individual Socio-Political

Economy Social
Bangladesh Unemployment Rate is at 5.3 %, compared to 4.22% last year. This is higher than the long
term average of 3.49%.

Source: World Bank

Thank You!