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[[Image:Unemployment office.jpg|right|200px]]

[[Image:Unemployment office.jpg|right|200px]]

'''Unemployment''' is the state of being unemployed. The U.S. government classifies persons as "[[unemployed]]" if they do not have a job, but have actively looked for work in the prior 4 weeks, and are currently available for work. (The [[labor force]] is made up of the employed and the unemployed. The remainder—those who have no job and are not looking for one—are counted as "not in the labor force.") [http://www.bls.gov/cps/faq.htm#Ques5]

'''Unemployment''' is the state of being unemployed. The U.S. government classifies persons as "[[unemployed]]" if they do not have a job, but have actively looked for work in the prior 4 weeks, and are currently available for work. (The [[labor force]] is made up of the employed and the unemployed. The remainder—those who have no job and are not looking for one—are counted as "not in the labor force.") [https://www.bls.gov/cps/faq.htm#Ques5]

"Involuntary unemployment" is when people are unable to find jobs at the prevailing wages for their skills and experience.  "Voluntary unemployment" is a normal process when people join the labor force (after leaving school, for example) or move to a new area.

"Involuntary unemployment" is when people are unable to find jobs at the prevailing wages for their skills and experience.  "Voluntary unemployment" is a normal process when people join the labor force (after leaving school, for example) or move to a new area.

After reaching a low of 4.1% in October, 2006, the U.S. unemployment rate has been moving upward, reaching 10.0% in January 2010. By May 2017, under the [[Trump Administration]], unemployment was back down to 4.4%, but wages remain stagnant.

After reaching a low of 4.1% in October, 2006, the U.S. unemployment rate has been moving upward, reaching 10.0% in January 2010. By May 2017, under the [[Trump Administration]], unemployment was back down to 4.4%, but wages remain stagnant.

Weekly estimates of unemployment use the number of persons filing new claims for unemployment insurance (UI) benefits.  Much more accurate data is based on large scale interview surveys, and is reported on the first Friday of the following month.  Since 1940 the monthly Current Population Survey (CPS) has been used.<ref>See [http://www.bls.gov/cps/cps_htgm.htm Bureau of Labor Statistics]</ref>

Weekly estimates of unemployment use the number of persons filing new claims for unemployment insurance (UI) benefits.  Much more accurate data is based on large scale interview surveys, and is reported on the first Friday of the following month.  Since 1940 the monthly Current Population Survey (CPS) has been used.<ref>See [https://www.bls.gov/cps/cps_htgm.htm Bureau of Labor Statistics]</ref>

==Causes==

==Causes==

Three types of unemployment can be distinguished by their causes. '''Frictional''' unemployment is the normal churning of the job market; people enter the labor force from school or home, and spend time looking for the best job. Most frictional unemployment is voluntary and is desirable to keep the economy working. '''Seasonal''' unemployment refers to jobs that operate at certain seasons, such as construction and tourism industries. Because teachers are paid during summer vacation, they are not counted as unemployed  in the summertime. The '''"normal unemployment rate'''" (frictional plus seasonal) is about 3% to 4%.  '''Unemployment insurance''' is designed to help people smooth over their financial needs during frictional and seasonal unemployment.  

Three types of unemployment can be distinguished by their causes. '''Frictional''' unemployment is the normal churning of the job market; people enter the labor force from school or home, and spend time looking for the best job. Most frictional unemployment is voluntary and is desirable to keep the economy working. '''Seasonal''' unemployment refers to jobs that operate at certain seasons, such as construction and tourism industries. Because teachers are paid during summer vacation, they are not counted as unemployed  in the summertime. The '''"normal unemployment rate'''" (frictional plus seasonal) is about 3% to 4%.  '''Unemployment insurance''' is designed to help people smooth over their financial needs during frictional and seasonal unemployment.  

[[File:Un-0409.jpg|thumb|250px|update for April 2009]] [[Image:Job-loss-09.jpg|thumb|250px|US job losses January 1-March 31, 2009]]   

[[File:Un-0409.jpg|thumb|250px|update for April 2009]] [[Image:Job-loss-09.jpg|thumb|250px|US job losses January 1-March 31, 2009]]   

In times of recession people are unemployed for much longer periods. In July 2009, 5 million people (one out of three unemployed) had been out of work for six months or longer.<ref>Bureau of Labor Statistics, "The Employment Situation -- July 2009" [http://www.bls.gov/news.release/empsit.nr0.htm online]</ref>

In times of recession people are unemployed for much longer periods. In July 2009, 5 million people (one out of three unemployed) had been out of work for six months or longer.<ref>Bureau of Labor Statistics, "The Employment Situation -- July 2009" [https://www.bls.gov/news.release/empsit.nr0.htm online]</ref>

==Natural rate==

==Natural rate==