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What are the social consequences of economically active people who are unemployed?

What really happens people are economically active unemployed?

Asked by: 594 days ago - 1 Answers - 10189 views

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    Unemployment arises when there is less investments in a country. Basically, there are two types of Investments. i.e. FDIs (Foreign Direct Investments) and Local Investments.
    To improve FDIs there are key concerns. (i.e. Country’s peacefulness, political stability, Tax holidays, reduced Labour cost & necessary infrastructure facilities)
    To improve Local Investments, private sector participation is vital & therefore, government backing is important. The Credit stock in this category should be improved by granting low interest Loans/ Advances in order to maximize investments / industries.

    When the people are unemployed, their Savings would be lesser & therefore investments would be very low even to start-up a small self-employment. This effects the production (GDP) and subsequently cost of goods would be higher (High inflation). This leads to Malnutrition and some more diseases.

    Answer by Defender 594 days ago


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