In the News

Is cyclical unemployment less of a risk for the UK?

15th May 2024

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Phillip Inman looks here at the latest labour market data and suggests that whereas unemployment is likely to rise in the months ahead, it seems as though we've moved into a new labour market paradigm when the degree to which unemployment fluctuates in line with the business cycle is much less marked.

Unemployment is now 4.3% and may reach 5%, as a result of falling spending, but it's a world away from the double digit unemployment of the 1980s and suggests that UK labour markets have become more flexible as a result of supply-side reforms.

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Graham Watson

Graham Watson has taught Economics for over twenty years. He contributes to tutor2u, reads voraciously and is interested in all aspects of Teaching and Learning.

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Is cyclical unemployment less of a risk for the UK?

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Teaching Economics

Is cyclical unemployment less of a risk for the UK?

Graham Watson

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