Advertisement

Types of Unemployment

  • J. L. Porket
Part of the St Antony’s book series

Abstract

As proposed above, neither market capitalism nor command socialism escapes unemployment. In this respect, the two types of economic system are similar. The difference between them lies in that different forms of unemployment prevail under each. At the same time, the form unemployment assumes has an impact on its visibility. The purpose of the present chapter is to substantiate this proposition which, of course, is in conflict with what the official Soviet and East European ideology contends.

Keywords

Labour Market Market Capitalism Unemployment Benefit Full Employment Labour Force Participation Rate 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

Notes and References

  1. 1.
    John A. Garraty, Unemployment in History: Economic Thought and Public Policy (New York: Harper & Row, 1978) pp. 4–11,Google Scholar
  2. Robert J. Barro and Herschel I. Grossman, Money, Employment and Inflation, (Cambridge: Cambridge University Press, 1980, reprinted) pp. 189–191.Google Scholar
  3. 2.
    P.J.D. Wiles, ‘A Note on Soviet Unemployment by US Definitions’, Soviet Studies, vol. XXIII, no. 4 (1972), p. 619.CrossRefGoogle Scholar
  4. 4.
    See in this connection Martin Godfrey, Global Unemployment, (Brighton: Wheatsheaf Books Ltd, 1986) pp. 5–23, where he discusses the definition and measurement of unemployment in relation to industrialized and underdeveloped economies.Google Scholar
  5. 5.
    Morris Bornstein, ‘Unemployment in Capitalist Regulated Market Economies and Socialist Centrally Planned Economies’, The American Economic Review, vol. 68, no. 2 (1978), pp. 38–43.Google Scholar
  6. 8.
    János Kornai, Economics of Shortage (Amsterdam: North-Holland Publishing Company, 1980) vol. A, pp. 4–5.Google Scholar
  7. 9.
    It is sometimes argued that the notion of structural unemployment is messy and as used by many economists obscure, that, inter alia, it should not cover technological unemployment. See eg. Guy Standing, ‘The notion of structural unemployment’, International Labour Review, vol. 122, no. 2 (1983), pp. 137–53.Google Scholar
  8. 10.
    See e.g. P.J.D. Wiles, Economic Institutions Compared (Oxford: Basil Blackwell, 1977) p. 369.Google Scholar
  9. 11.
    As to Soviet-controlled Eastern Europe see Josef Goldmann and Karel Kouba, Hospodářský růst v ČSSR (Praha: Academia, 1969, second edition).Google Scholar
  10. In addition see Bary W. Ickes, ‘Cyclical Fluctuations in Centrally Planned Economies: A Critique of the Literature’, Soviet Studies, vol. XXXVIII, no. 1 (January 1986), pp. 36–52.CrossRefGoogle Scholar
  11. 12.
    J.L. Porket, review of Jan Adam (ed.), Employment Policies in the Soviet Union and Eastern Europe, in Soviet Studies, vol. XXXV, no. 4 (1983), pp. 586–7.Google Scholar
  12. 13.
    Guy Standing, ‘The notion of voluntary unemployment’, International Labour Review, vol. 120, no. 5 (1981), pp. 563–79.Google Scholar
  13. 14.
    John Maynard Keynes, The General Theory of Employment, Interest and Money (London: Macmillan, 1936) pp. 6 and 15–17.Google Scholar
  14. Mass involuntary unemployment was also discussed by E. Malinvaud, The Theory of Unemployment Reconsidered (Oxford: Blackwell, 1980, reprinted).Google Scholar
  15. 16.
    Marie Jahoda, Employment and unemployment: A social-psychological analysis (Cambridge: Cambridge University Press, 1982) p. 8.Google Scholar
  16. 17.
    The unemployed worker is sometimes said to move through four phases, namely, that of shock, that of optimism, that of pessimism, and that of fatalism. The phase model of unemployment was discussed by David N. Ashton, Unemployment under Capitalism (Brighton: Wheatsheaf Books Ltd. 1986) pp. 140ff.Google Scholar
  17. 18.
    It has been suggested, too, that the unemployed individual who has access to and partakes in the informal economy is psychologically not defeated, not apathetic. Peter Kelvin and Joanna E. Jarrett, Unemployment (Cambridge University Press, 1985) p. 26.Google Scholar
  18. 19.
    Gerald Mars, Cheats at Work: An Anthropology of Workplace Crime (London: George Allen & Unwin, 1982) p. 218.Google Scholar
  19. 20.
    Hermione Parker, ‘Social Security Foments the Black Economy’, The Journal of Economic Affairs, vol. 3, no. 1 (1982), pp. 32–5.CrossRefGoogle Scholar
  20. 21.
    Kent Matthews, ‘National Income and the Black Economy’, The Journal of Economic Affairs, vol. 3, no. 4 (1983), pp. 261–7.CrossRefGoogle Scholar
  21. 22.
    William H. Beveridge, Full Employment in a Free Society (London: George Allen & Unwin, 1945, third impression) p. 19.Google Scholar
  22. 23.
    Ralf Dahrendorf, On Britain (London: British Broadcasting Corporation, 1982) p. 182.Google Scholar
  23. 24.
    K. Mandelbaum, ‘An Experiment in Full Employment’ in The Oxford University Institute of Statistics, The Economics of Full Employment (Oxford: Blackwell, 1948, reprinted) Part VI, and Walter Eucken, ‘On the Theory of the Centrally Administered Economy: An Analysis of the German Experiment’, in Morris Bornstein (ed.), Comparative Economic Systems: Models and Cases, (Homewood, Illinois: Richard D. Irwin, Inc., 1965,) pp. 158–9.Google Scholar
  24. 26.
    Open unemployment fell from 5.6 million in 1932 through 4.8 million in 1933 to 2.7 million in 1934 and 2.1 million in 1935. Dieter Cassel (ed.), Wirtschaftspolitik im Systemvergleich (München: Verlag Franz Vahlen, 1984) p. 176, Table H-l.Google Scholar
  25. 29.
    International Labour Office, Year Book of Labour Statistics (Geneva: 1980) p. 283.Google Scholar
  26. 30.
    Peter Walters, ‘Sweden’s Public Sector Crisis, Before and After the 1982 Elections’, Government and Opposition, vol. 18, no. 1 (1983), pp. 23–39.CrossRefGoogle Scholar
  27. 31.
    Quoted by Paul Johnson, The Recovery of Freedom (Oxford: Blackwell, 1980) p. 110. Conversely, an increase in the growth rate of disposable real income by 1 per cent increased the government’s poll lead by about 0.8 per cent.Google Scholar
  28. 32.
    F.A. Hayek, 1980s Unemployment and the Unions (The Institute of Economic Affairs, 1980) p. 23.Google Scholar
  29. 33.
    Norman L. Webb and Robert J. Wybrow (eds.), The Gallup Report (London: Sphere Books, 1981) pp. 15, 18, 48, 60–1 and 70;Google Scholar
  30. Norman Webb and Robert Wybrow, The Gallup Report: Your Opinions in 1981 (London: Sphere Books, 1982) pp. 68–9 and 165; The Times, (4 December 1982.)Google Scholar
  31. 37.
    The effects of open unemployment on government popularity in Britain between 1966 and 1983 were discussed by Christopher T. Husbands, Government Popularity and the Unemployment Issue, 1966–1983, Sociology, vol. 19, no. 1 (February 1985), pp. 1–18.CrossRefGoogle Scholar
  32. 38.
    Some East European definitions of full employment were discussed by Jan Adam, Employment and Wage Policies in Poland, Czechoslovakia and Hungary Since 1950 (London: Macmillan, 1984) pp. 60–6.CrossRefGoogle Scholar
  33. 41.
    See also David G. Green, The New Right (Brighton: Wheatsheaf Books Ltd, 1987) pp. 58–73.Google Scholar
  34. 42.
    John Hicks, The Crisis in Keynesian Economics (Oxford: Basil Black-well, 1974) pp. 61–2.Google Scholar
  35. 44.
    Derek H. Aldcroft, Full Employment: The Elusive Goal (Brighton: Wheatsheaf Books Ltd, 1984) p. 77.Google Scholar
  36. 45.
    More precisely, the change took place in 1976, when traditional demand-boosting full employment policies were abandoned by the Labour government. Samuel Brittan, The Role and Limits of Government (London: Temple Smith, 1983) p. 249.Google Scholar
  37. 46.
    Ingemar Ståhl, ‘Sweden at the End of the Middle Way’, in Svetozar Pejovich (ed.), Philosophical and Economic Foundations of Capitalism (Lexington, Massachusetts: D.C. Heath and Company, 1983) Chapter 9.Google Scholar
  38. 49.
    Charles Handy, The Future of Work (Oxford: Basil Blackwell, 1984) pp. 90–5.Google Scholar
  39. 51.
    P. Bihari, ‘On (Structural) Unemployment’, Acta Oeconomica, vol. 28, nos. 1–2 (1982), pp. 53–70.Google Scholar

Copyright information

© J. L. Porket 1989

Authors and Affiliations

  • J. L. Porket
    • 1
  1. 1.St Antony’s CollegeOxfordUK

Personalised recommendations