Simple question (1 Viewer)

[chazza]

if there is higher levels employment, what would it do to economic activity levels?

 

[nick1048]

economic activity would incease, and the economy would experience economic growth.

 

[patlaw]

Just think about the effect of high unemployment rate. When this occurs there is less economic activity so more employment or lower unemployment will mean more economic activity. This is because more people have money and therefore more people are spending.

 

[ameh]

high levels of employment indicate consumers have enough to spend because of a stable income and more money in their pockets, and this impacts upon economic activity because the more they spend, the economy experiences economic growth which in the longer term may increase inflation - which is sucky for all of us

 

[chazza]

i see.. thanks you guys