Monthly Archives: 二月 2009

The labor force is the total number of workers, including both the employed and the unemployed. The unemployment rate is the percentage of those who would like to work and do not have jobs. Frictional unemployment is inevitable simply because the economy is always changing. Unemployment insurance, while reducing the hardship of unemployment, increases the amount of frictional unemployment. The unemployment that results because the number of jobs available in some labor markets is insufficient to provide a job for everyone who wants one is called structural unemployment, which is often thought to explain longer spells of unemployment. Continue reading →

The field of finance studies how people make decisions regarding the allocation of resources over time and the handling of risk. Continue reading →

The financial system consists of those institutions in the economy that help to match one person’s saving with another person’s investment. At he broadest level, the financial system moves the economy’s scarce resources from savers to borrowers. Savers supply their money to the financial system with the expectation that they will get it back with interest at a later date, while borrowers demand money from the financial system with the knowledge that they will be required to pay it back with interest at a later date. Continue reading →