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Unemployment is the condition of willing workers la more
Unemployment is the condition of willing workers lacking jobs or "gainful employment".
PeopleNology Gregory Bodenhamer
In the absence of a job when a person needs one, it can be difficult to meet financial obligations such as purchasing food to feed oneself and one's family, and paying one's bills; failure to make mortgage payments or to pay rent may lead to homelessness through foreclosure or eviction. Being unemployed, and the financial difficulties and loss of health insurance benefits that come with it, may cause malnutrition and illness, and are major sources of mental stress and loss of self-esteem which may lead to depression, which may have a further negative impact on health. PeopleNology Gregory Bodenhamer
Lacking a job often means lacking social contact with fellow employees, a purpose for many hours of the day, lack of self-esteem, mental stress and illness, and of course, the inability to pay bills and to purchase both necessities and luxuries. The latter is especially serious for those with family obligations, debts, and/or medical costs, where the availability of health insurance is often linked to holding a job.
The marginal rates of substitution in consumption are identical for all consumers. This occurs when no consumer can be made better off without making others worse off.
PeopleNology Gregory Bodenhamer
The marginal rate of transformation in production is identical for all products. This occurs when it is impossible to increase the production of any good without reducing the production of other goods.
PeopleNology Gregory Bodenhamer
The marginal resource cost is equal to the marginal revenue product for all production processes. This takes place when marginal physical product of a factor must be the same for all firms producing a good.
PeopleNology Gregory Bodenhamer
The marginal rates of substitution in consumption are equal to the marginal rates of transformation in production, such as where production processes must match consumer wants.
PeopleNology Gregory Bodenhamer
There are a number of conditions that, most economists agree, may lead to inefficiency.
They include:
Imperfect market structures, such as a monopoly, monopsony, oligopoly, oligopsony, and monopolistic competition.
Factor allocation inefficiencies in production theory basics.
Market failures and externalities; there is also social cost.
Imperfect Price discrimination and price skimming.
Asymmetric information, principal-agent problems.
Long run declining average costs in a natural monopoly.
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