Unemployment Is a Serious Social Issue

People generally enjoy working and being productive members of society. The positive effects of the Welfare Reform Act is moving to eventually end poverty in America and promote economic growth. According to the 2005 report measuring welfare dependents “Poverty in 2003 remains much lower than in 1996, the year of passage of the Personal Responsibility and Work Opportunity Reconciliation Act. The official poverty rate for 2003 was 12.5 percent, compared to 13.7 percent in 1996.” ( Gil Crouse, Susan Hauan, Julia Isaacs, Kendall Swenson and Lisa Trivits, 2005 ) States that design welfare-to-work policies that emphasized getting recipients into jobs by shifting to “work-first” welfare systems can modify program rules to allow more earned income,

Unemployment is currently measured in the United States by counting those who "do not have a job, have actively looked for work in the prior four weeks, and are currently available for work" (Leonhardt). This means that a great deal of people are not counted as unemployed because they are discouraged and have not looked for work in the past four weeks. Or, the person was injured in some way and they are "not currently" available for work. This does not mean that the people in either of these groups do not actually wish to find work, but it does mean that they are not counted because of an archaic system that has been used by

The effects of the 1996 welfare reform bill helped declined caseloads on the social and economic well-being of fragile families, single mothers, and children. Although, the welfare reform was documented for making several positive changes such as reducing poverty rates, lowering the out of-wedlock childbearing, and formulated a better family structure, it is undeniable that poverty remained high among single mothers and their children. The reality of the matter was that most welfare recipients experienced serious barriers to maintain a stable employment due to their lack of skills, not having anyone available to take care of their young children when they leave for work as well as not gaining long-time employment with decent pay to help foster the family. As a result, most poor women and children were faced with the instability of economic and social future as welfare eligibility exhausted their efforts of supporting their families.

Beginning with unemployment in the 2007-2009 recession, U.S. unemployment rates peaked at 10% as well as held 41 consecutive months at rates higher than eight percent (Lazear 1). The U.S. economy plummeted during this time; many attributed the shift to a large decrease in the number of employed workers. To be able to better understand the unemployment issue, we must first examine the form of unemployment faced by the U.S. economy. Many believe that the changes faced by the U.S. labor market

Those people who live in poverty are eligible for public services that are provided to them to help them survive. It is often a misconception these people take advantage of the public system to receive benefits and welfare that they do not need. While it is true that there many be some people who do not need these benefits and still take advantage of them, there are also many families, who do in fact need the help of public assistance, and do not use it. Many families, who qualify for public assistance such as food stamps, do not receive them. A startling two-thirds of people who qualify for public assistance, such as food stamps, do not use these benefits . One reason for this may be that these families do not truly feel they are as impoverished as they really are. Another reason could be the possibility that these families do not know they will qualify for these programs .

In the U.S., the primary source of income comes from jobs. However, people are unable to find jobs because businesses are outsourcing unskilled labor to developing countries since workers there are willing to be paid less than the average American worker. This creates problems for people who are trying to look for jobs because many lack the skills to function in a job that requires skill and will remain jobless until they find unskilled labor jobs. Since the Recession, working class families who had lost their jobs are struggling to survive due to the little job availability (Heritage Foundation, 2011). Because the majority of working class families are suffering from prolonged

But federal aid programs have not helped the poor become self-sufficient or reduced the poverty levels. Ever since welfare has been created it has weakened the American work ethic and encouraged out-of-wedlock births. That unfortunate “tradition” keeps getting passed down from generation to generation (DeHaven). An abundant amount of families out there truly need assistance. The troublesome reality is that the number of people trying to take whatever they can get outweighs the number that’s just trying to get back up on their

In America today, millions of people suffer from a lack of basic needs due to a shortage of reasonably paying jobs. A growing percentage of Americans are falling below the poverty line, and, in recent years, the rapid growth of technology is destroying blue-collar jobs. For example, 55-year-old Glenn Johnson of Miami is making about $14,000 a year - or $7.93 an hour - working at Burger King and Walmart. Johnson is a single parent who toils day and night to provide for his family. He gets home at 1 or 2 a.m., but despite his hard work, he depends on food stamps. Johnson described his daily routine to the Huffington Post as “pure hell.” Unfortunately, this is a reality for more than 45 million Americans, roughly 15 percent of the American population,

The unemployment rate averaged 8.5% in 1975, almost 10% in 1982, and has been above 8.8% for more than two years, with little evidence of any improvement ahead.”

Today American citizens undeniably face some of the nation’s greatest challenges. No matter the issue, there will be consequences as a result. A great issue as voted by most Americans is believed to be the high percentage rate of unemployment. Unemployment is a distressingly bad aspect, and unfortunately it is a daily normality and struggle for most individuals. There are a plethora of reasons why unemployment is intensively high; frictional, structural and voluntary unemployment for example, serve as major purposes to the leading cause of high unemployment. Frictional unemployment occurs from the amount of time spent in finding new employment in the free market. For example, a recent university graduate may not necessarily expect to find a job of their expertise and skills right away therefore the job hunt continues. This also occurs whereas people choose to be unemployed rather than accepting the first job that comes around or are in between jobs because they have become inessential or simply looking for a better, beneficial career. Structural unemployment occurs due to inconsistent labor skills such as occupational immobility where learning a new skill required for a certain occupation is complicated. For example an unemployed mechanic will struggle to find an occupation in the medical industry because of the difference in occupational knowledge. Geographical immobility

The welfare system has played a vital role in the United States in reducing poverty by providing a variety of programs that afford income support and create a safety net for poor individuals and families. In recent years, there have been enormous changes in the programs that have affected single mothers headed families. In 1996, Congress passed the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA). Under the new legislation, Temporary Assistance for Needy Families (TANF) replaced Aid to Families with Dependent Children (AFDC) which was the main public assistance program for single parents. TANF automatically terminated individual entitlement to public assistance, created a five-year limit for receiving cash assistance; and required recipients to work after two years (Kim, 2000).

The United States is currently experiencing a slow recovery from the recession of 2008-09. The current unemployment rate is 7.7%, which is the lowest level since December of 2008 (BLS, 2012). However, this rate is believed to higher than the rate that would occur if the economy was operating at peak efficiency, and it is also believed that there are structural issues still underpinning this performance. For example, the number of Americans who have exited the work force as the result of prolonged unemployment is believed to be higher than usual. In addition, the Congressional Budget Office (CBO, 2012) notes that long-term unemployment of greater than 26 weeks is at a much higher rate than normal, which will have adverse long-run effects on the economy, since workers with long-term unemployment often find their career paths derailed.

Skepticism of people’s true need ties into the support of the federal Supplemental Nutrition Assistance Program, formally known as Food Stamps. By the 1990’s conservatives and some liberals argued that the Johnson-era reforms had created a culture of dependency on government aid. In 1996 Congress overhauled the welfare system by imposing work requirements and putting time limits on cash payments to the needy. This act caused the SNAP rolls to drop, but the economic crisis that began in 2007 pushed the national unemployment rate above 9 percent. With unemployment at an all-time high this forced millions of families to seek government aid. In response to this new need the SNAP program was expanded as part of the stimulus package in 2009. This expansion was intended to be a temporary fix with cuts to the program to being in 2013. The thought

Unemployment has always been something that Americans have worried about since the great depression in which one in every four people was unemployed. High unemployment has an impact on every one even those whom are still currently employed. For example if the unemployment rate is particular high then even those with jobs get worried. Unemployment is also separated in to distinct categories base on which group is the focus of the study. The categories can be by race, age or location, for example the unemployment rate of those between the age of sixty and sixty-five could be compared those between the ages of thirty and thirty-five. These categories allow economist to see which groups are the best and which groups are worst off. One group

Money is essential to any individual looking to have a decent lifestyle; labor is the avenue through which this is acquired. The economy goes through various fluctuations in activity causing unemployment to fall, rise, or level out. What this creates is the first type of unemployment, known as cyclical; frictional is the second type, caused by a temporary leave (for whatever reason) by the employee, and structural is the third type, varying with the economic changes in demand. The absence of unemployment at its maximum level is termed full employment, another version of unemployment. The term encompassing the sum of the frictional, structural, and, yet another type of unemployment, surplus unemployment is that of the natural rate of