The natural rate of unemployment is related to the number of people who currently have no job, and think that by waiting, they can get a better job than any of their current employment opportunities. Let's face it, anybody who is unemployed can instantly find a job if they accept one on poor enough terms. You can trivially say that anybody who is unemployed is unemployed by choice. As von Mises put it, they prefer leisure to all available employment. While that's true, and elucidating, some of these people aren't enjoying their leisure very much and consider it a best of a set of bad choices.(posted 7337 days ago)It's not at all clear that reducing this level of unemployment is possible or good even if possible. Let's say that you could. If somebody can find a better job without waiting, then people will be constantly switching jobs. Eventually, though, everybody would have switched to the best job they can find. If they leave or lose that job, they'll be unhappy about taking a worse job. Everybody's natural reaction is to invest some time in searching for a new best job. The only want to reduce that is to ensure that everybody has a better job immediately available to them, but now you're back to an unstable situation again.
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