Response to What are the levels and causes of unemployment

Unemployment can arise due to Disequilibrium in unemployment, this maybe due to wages being too high so that aggregate supply of labour exceeds aggregate demand. Even when the labour market is in equilibrium some people maybe unemployed hoping ot find a better job than the ones currently available, this can be associated with structural and frictional unemployment. there have been many different approaches to unemployment these include classical views, keynesians, monetarists and new classicalists.

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