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Line 1: − + − ==Full employment in Marxist societies== − The [[Union of Soviet Socialist Republics]], a purported "workers paradise" and [[liberal]] [[leftist]] [[utopia]], officially maintained throughout its existence it had achieved full employment. Technically, this may be correct, if [[slavery|forced labor]] in [[gulag]]s and other types of [[involuntary servitude]] are considered in tabulating [[employment]] statistics.+ + +
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'''Full employment''' is when everyone who seeks a job can obtain one, except for people who are structurally unemployed. Also, the average [[Real price|price]] level should be stable.
'''Full employment''' is a term in economics used to describe a macroeconomic situation in which [[cyclical unemployment]] (joblessness due to recession) is nonexistent. Other forms of unemployment, such as [[structural unemployment]] (joblessness due to lack of employable skills or abilities), [[seasonal unemployment]], or [[frictional unemployment]] (joblessness that occurs as workers move from one firm to another, or as they initially enter the labor force) may still exist, and to some extent may be economically beneficial.
==Desirability of Full Employment==
While economists generally consider it desirable for an economy to attain a state of full employment, as this ensures that available resources are being utilized nearly as efficiently as possible, full employment carries with it the risk of [[demand-pull inflation]] should [[aggregate demand]] increase once an economy has reached this point. This is due to the fact that [[output]] cannot be increased any further if [[demand]] continues to rise after full employment has been attained, and as a result, the [[price level]] must increase.
==References==
==References==