Unemployment In America - Research Paper Example

Moreover, tax remission declines because the unemployed group includes individuals who have lost their employment for some reasons. Unemployment also increases the expenditures of the federal government. In the long run, the unemployed experience erosion of their skills which causes productivity when they get employed in the future (Bluestone, 2013). Researchers indicate that those who stay unemployed for long periods of their youthful years end up earning lower wages because it takes them a long time to adapt to the work environment, as well as acquisition of skills.

Working conditions and rate of salaries have forced a significant number of employed Americans to drop out of their jobs. Part-time jobs, on the other hand, are deceptive to the statistics of unemployment rates since most of the part-time jobs are not satisfactory to the needs of the part-time workers. Only about 47.7% of adults in the United States work in full-time jobs. These are the only American adults working on jobs that are not satisfactory enough. It implies that most Americans would like to work on better paying jobs under proper working conditions Declines in the demand for services and goods are a major contributor to unemployment.

Products and services create employment through the many transactions needed to deliver them to consumers. The production of products and services requires a significant number of employees. If the demand for goods is weakening, firms producing goods and services are forced to lay off some employees to reduce extra costs. Therefore, some people lose employment when demand for goods and services they were producing becomes lower (Bluestone, 2013). Most goods and services go through many processes before reaching the consumer.

These processes create employment for many people as well. For example, some industries manufacture goods and deliver them to other industries for further processing.