What does a high unemployment rate show in a country?
Due to the economic conditions in the country, many people are now afraid of losing their job. Even a small salary keeps people at their workplaces. Having a small monthly income they turn to credit companies for monetary help. Personally, I have long been accustomed to use the services of a website http://northenloans.ca/payday-loans-newfoundland-and-labrador.html which does not fail me to issue small loans. It is well when people can pay off their debts and even save some money, but in most cases the majority of people cannot cope with debt. The unemployment rate rise can definitely affect the financial status of the population, as well as the economic situation of the country.
Unemployment/Employment is caused by two main factors- Demographic (to do with people) and Economic. Most high unemployment rates are seen in poorer countries, where jobs are not readily available, so companies must pick carefully who they employ. Poorer countries also have a lacking education system, and therefore, people are not as able to work. A downturn in the economy (like the current economic crisis) can also cause a rising high unemployment rate. A lack in the demand for goods and services will cause a decrease in the supply, therefore companies will have to lay-off workers in order to stay in positive territory profit-wise.
