The existence of a section of the labour force able and willing to work, but unable to find gainful employment.
Unemployment is measured as the percentage of the total labour force out of work.
In 1997 the International Labour Organization expressed concern at the high levels of unemployment and under-employment that persisted in the world economy. The Organization estimated that 30 per cent of the world labour force was without full-time employment. However, in practice, it has been shown that at times persistent unemployment can be cured by a boost in aggregate demand. In recent years attention has focused on the particular problem of long-term unemployment , especially among unskilled men. And that work incentives have correspondingly diminished too.