frictional unemployment


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Related to frictional unemployment: Cyclical unemployment, Voluntary Unemployment, Seasonal unemployment

Frictional Unemployment

Unemployment that results from incomplete information. Examples of frictional unemployment include first-time job seekers who do not have jobs because they do not have the resources to look for jobs successfully. Frictional unemployment may also occur when a company does not know where to look for qualified individuals. It is thought to be impossible to completely eliminate frictional unemployment.

frictional unemployment

see UNEMPLOYMENT.

frictional unemployment

or

transitional unemployment

UNEMPLOYMENT associated with people changing jobs. In some cases people who leave one job may start another job the next day. In other cases, people may be temporarily unemployed between jobs while they explore possible job opportunities. The latter case constitutes ‘frictional’ unemployment insofar as labour markets do not operate immediately in matching the supply of, and demand for, labour. Some frictional unemployment may be regarded as ‘voluntary'because people choose to leave their current jobs to look for better ones whereas other frictional unemployment is ‘involuntary’ where people have been dismissed from their current jobs and are forced to look for alternative ones. See JOB CENTRE.
References in periodicals archive ?
As indicated above, frictional unemployment can have various faces: a fulltime worker leaves a job but can only find a part-time job quickly rather than a full-time one and so decides to take the part-time job.
Frictional unemployment can be reduced by improving the communication between job seekers and job providers.
In addition, the relative employment of women and students had risen substantially, and most of these were in part-time and casual employment, areas of employment disinterested in unions--workforce structural changes which may also have increased the rate of frictional unemployment.
Unlike previous research on unemployment flows, ours focuses on low-frequency relationships and interprets the evidence in light of steady-state properties of a frictional unemployment model.
3% official unemployment rate minus 2% frictional unemployment multiplied by 2).
Frictional unemployment may be reduced over time as job-matching technology improves.
While several factors have been attributed to unemployment, never has any single cause been specifically found to be the main cause of unemployment, although cyclical, technological/structural, seasonal and frictional unemployment has been discussed in macroeconomic theory.
These movements are based on changes in structural and frictional unemployment as the labor force changes and as industry and geographic trends influence the distribution of jobs.
The underlying assumption in the neoclassical growth model is that, even if we admit sticky wages in the short run, in the long run, the labor market should have time to clear and the economy should return to full employment, understood as the level of employment compatible with frictional unemployment.
4) Frictional unemployment consists of people looking for jobs or waiting to take jobs in the near future.
As mentioned in the introduction of this survey, economists have been aware of frictional unemployment for a long time.
Sectoral shifts also imply frictional unemployment in urban China.