Someone told me recently the economy works better with some people out of work... Is this true or just cobblers???? If it's true why? If not i'll slap my friend...
2006-10-11 12:07:00 · 8 answers · asked by Richard G 1 in Business & Finance ➔ Other - Business & Finance
it's better for the business owners because they can pay lower wages...if they can fire you and hire someone off of the street who is desperate for a job. it also makes it easier for wal-mart and McDonald's to find part time help...the lower the unemployment the higher the average wage....but the economy itself starts to grow if there is a shortage of workers...look at Europe in the late 1300's...after the black death there was a severe shortage of labor...which meant that wages went up and the economy grew as more people had wealth they invested in luxuries and art which started the Renaissance
2006-10-11 12:18:13 · answer #1 · answered by Anonymous · 0⤊ 0⤋
General Electric created a program that automatically terminated some of the less productive portion of its workforce once in awhile. They based it on the theory that a portion of the less productive people should be out of work in order to increase overall efficiency and motivation for the more productive workers. The people who are terminated then increase their skills and motivation eventually as a result of the termination and learn from the experience (in theory). So you could argue that if this theory is true, a portion of the potential workers should be unemployed at any given time.
American society is also extremely diverse, and there really are people (not the majority) who are lazy, selfish and currently bring many disadvantageous traits to the workplace. You could argue for the time being some of those people should be unemployed (they could possibly change over time though).
2006-10-11 19:19:16 · answer #2 · answered by KatGuy 7 · 0⤊ 0⤋
Gooood question! But it's very intricate...economies rely on a balance - a balance of imports, exports, income, expenditure, loans, borowings, etc, etc...unfortunately, this includes unemployed people. The 'good' bit about having unemployed is that there is a source of workers for positions that are not yet filled (there are always going to be positions available), plus it supports the element of demand/supply, so employers can control (to a certain extent) the wage they pay, which may be a good or bad thing, depending on how you look at it...damn, that's as far as I'm taking this one tonight...
2006-10-11 20:38:10 · answer #3 · answered by ScoobySnacks 2 · 0⤊ 0⤋
NO !
Some businessmen like it, because poor people are easy to rip off.
But the economy wants everybody at work.
a 2-3% of unemployment if considered as full employment, because some employees are changing job, parental holiday, etc.
2006-10-11 19:22:12 · answer #4 · answered by carlos 5 · 0⤊ 0⤋
although it may balance the economy, we do not NEED people out of work, if every person eligible to work was working, our economy would reach its full potential for production, which would affect a lot of other things to change in our economy like income taxes, distribution of currency, imports and exports, the value of the dollar and taxes in general....but to answer your question exactly....no, the economy doesn't need a certain percentage of people out of work!
2006-10-11 19:17:26 · answer #5 · answered by Anonymous · 0⤊ 1⤋
Yes.
Or something to flatten population.
2006-10-12 00:04:03 · answer #6 · answered by willievergetaloginname 1 · 0⤊ 0⤋
maybe depends of the situation
2006-10-11 19:13:34 · answer #7 · answered by chao 1 · 0⤊ 1⤋
true , you need floating workers
2006-10-11 19:12:12 · answer #8 · answered by margaret w 6 · 0⤊ 0⤋