The Relationship Between Gdp Growth And Unemployment Growth
The Relationship between GDP Growth and Unemployment growth.<br />GDP Growth is made up of Goods and Services throughout the Economic Market.<br />Goods: <br /><ul><li>there are many manufacturing techniques’ that Companies for Production
These vary from Labour intensive to those needing a light Labour force
Goods are produced more efficient and Technological advancements have taken over some of the Labour Skills that were once performed by people.
International Trade Markets have increased the Competition between Sellers of goods and there for diminished Market Share for many domestic companies. Thus decreasing the Potential for Profit Maximisation and Production Maximisation of Companies
Demand for goods are low – Leading to less production and lower workforce
GDP for many years has been used as a Key Indicator for Economist and Governments as a “Lead in” Indicator for what will be a “Decrease in the Unemployment rate”. This can no longer be the “norm”.
GDP should be broken up as too a Portion derived by Production of Goods and a Portion Derived by Services. The Services Section should be Broken up to those Services provided by human Labour and those attained by Electronic Services that require, no to minimal human labour.
This will provide a better indicator for increase in GDP that will lead to a reduction in the unemployment rate.</li></ul>Alberto Kang<br />Special Assistant<br />MySpace.com Profile<br />YouTube Channel<br />Facebook<br />Google Profile<br />Twittter<br />Flickr<br />SlideShare<br />