Chapter 511: Tears of the Times

The phenomenon of unemployment in society can be broadly divided into three situations: frictional unemployment, cyclical unemployment and structural unemployment. Pen @ fun @ pavilion wWw. biqUgE怂 ļ½‰ļ½Žļ½†ļ½

"Frictional unemployment" is voluntary unemployment, mostly due to seasonal or subjective factors. For example, when a typhoon comes, the sea is too windy and rough to navigate, and the coastal fishermen decide to give up fishing and rest at home considering the risk factors, and wait until the weather improves to go out to sea to fish, which is frictional unemployment and has little impact on the macroeconomy.

"Cyclical unemployment" is a phenomenon of large-scale unemployment in all sectors of society that accompanies the economic cycle. For example, during the economic crisis, the contradiction between weak aggregate demand and relative excess aggregate supply was difficult to solve, all walks of life were sluggish, and the unemployment rate of workers surged.

"Cyclical unemployment" is often a consequence of bubble economies and financial crises, and workers know very well that they are not at fault, and that the greedy elites and financial/real estate speculators have played the social and economic game badly, but let them suffer the consequences, and can rightly express their anger and denounce injustice. There are many ways to express anger, whether it is a peaceful demonstration or "occupy xx street", or it is possible to use the votes in your hands to teach the people in power a lesson, remove the group of scapegoats from power and replace them with a group of people to govern, and in the most serious case, it may even turn into a violent revolution that sweeps the whole society.

"Structural unemployment" is another matter, which may not seem to have as severe a socio-economic impact as cyclical unemployment, but which is more painful, more painful and more desperate for those who are deeply involved than other forms of unemployment.

The so-called "structural unemployment" usually occurs in the stage of rapid adjustment of the industrial structure, some of the products of the "twilight industry" are eliminated by the market because of quality or cost and other factors, and the practitioners of the industry are forced to lay off because of age or technical factors can not adapt to the new economic situation, from the family to the society are always telling them a cruel truth: you have no job! You have no income! You have no dignity! You have no value!

These unemployed, who cannot afford to earn money to support their wives and children, will eventually lose their basic dignity as human beings and become a group of "superfluous people" in social life......

For example, one workshop employed 10 workers to weave straw sandals, and business has been doing well for decades, with skilled workers and a decent income to support their families.

Suddenly, one day, people no longer wear straw sandals, but it is fashionable to wear cloth shoes and leather shoes, straw shoes cannot be sold, the workshop goes bankrupt, what will happen to those who have lost their jobs? The only skill they have mastered in this life is weaving straw shoes, and now that their skills are no longer needed by society, how will they make a living next?

"We don't talk about the dark phenomenon of men selling blood and women as prostitutes, generally speaking, the young and strong unemployed can also try to change careers and learn other new technologies that are more in line with the needs of the times, the old and frail workers do not have the ability and energy to receive technical training, and lack of competitiveness in the talent market, and this situation is not a deliberate mistake caused by anyone, let alone because they are lazy, but an objective law of economic development, the unemployed are frustrated and tormented, and the material and spiritual pressure continues to accumulate and have nowhere to vent, In such a painful situation, it is difficult to ask them to remain calm and face reality. Finally, Roland asks Lyubov a poignant question: "As a city manager and industrial policymaker, how do you plan to appease the structurally unemployed, and how do you prevent them from leaving the country and causing social unrest?" ā€

"If their job skills don't fit the needs of society, they're doomed to obsolescence, and I don't think I'm responsible for that." Lyubov replied coldly.

"You must be held accountable for this, or you will not be worthy of the noble throne of Geert Palace, and I will not be surprised if angry unemployed people launch a revolution to remove you from power!" Roland couldn't help but raise his voice.

"Then what do you want me to do! You also know that this is the inevitable price of economic development, and someone has to bear the price! Lyubov was-for-tat, and his excitement was out of control.

Roland leaned forward with his hands on the table, his forehead almost hitting the center of Lyubov's eyebrows, and his knife-sharp gaze stabbed her in the face.

"There are two things I want you to keep in mind."

"First, you are not just a businessman, you are the ruler of this city-state, and if you still have the most basic political literacy, you should understand that the biggest difference between government and corporation is that it bears unlimited responsibility! So stop trying to use your lame economic theories to deal with social problems, that specious fallacy has the only effect of killing you! ā€

"Second, as your friend, I want to tell you the truth, the most ruthless and cruel decision that a decision-maker, a decision-maker in charge of the lifeblood of the social economy, can make than to forcibly change the industrial structure before the most basic social security system has been established, sweep tens of thousands of structurally unemployed workers out of the house, take their jobs and smash them to the ground, such iron-hearted atrocities that only the devil can do!"

"You can't accuse Lyuba like that, it's too much!" Victoria couldn't help but jump up to defend her sister, "You don't know Lyuba at all, you don't know what kind person she is!" If you really have a solution, you should tell us how to solve the problem, not just take the outsider's position and cynicism! ā€

"It's none of your business, sit down!" Roland grabbed Lori Knight's forehead and forcibly pressed her back onto the couch.

"Damn! I'm fighting with you! Victoria's face flushed with rage, and she swung her pink fist and tried to punch Roland, but her arm was too short to reach......

"Okay Vita, don't get excited, we all need to calm down." After reassuring his sister, Lyubov looked up into Roland's eyes, "Please tell me, how should I avoid this expected crisis?" ā€

"It's actually quite simple, most people – especially young people – aren't always rational when it comes to spending, so you have to try to convince people to save more when they're younger, preferably by buying an insurance policy to protect them from unemployment and retirement." Roland succinctly laid out the countermeasures.

Lyubov frowned and looked hesitant: "Workers can take out a part of their income to save regularly as unemployment and pension security, if they are forced to save by administrative order, won't it hinder people's freedom to dispose of wealth?" ā€

Roland sighed, and looked at her with a hint of regret in his eyes: "My dear Liuba, you have a youthful and beautiful face, but your brain is more pedantic than the old antique, if you really don't want to implement this plan through executive orders, you can also use commercial means to create a social insurance fund, but the cost is a little higher, the risk is a little greater, I don't need to say more about how to do it, right?" ā€

The "Storm Lord" of the North Bay pondered for a long time, and finally a relieved smile finally rose on the corner of his lips, and he took the initiative to clasp Roland's hand, and his gratitude was overflowing:

"Thank you for the call, I know what to do." (To be continued.) )