Current economic analysisEconomy Define unemployment? Give an example of the three types of unemployment. What type of unemployment is the most problematic and why? What type(s) of unemployment problem is the United States currently experiencing and why? What is a possible solution to the unemployment problem(s)? Unemployment is a person's inability to find employment. (Schiller, 2006) This means that an unemployed person is a person who is able to work and is actively looking for work but is unable to find a job, meaning that this person is an active member of the labor force at the looking for a job. opportunities but unable to find one. This excludes full-time students and housewives who are not vigorously seeking employment. Unemployment can be divided into three types: frictional, structural and cyclical (Schiller, 2006). The first form of unemployment is frictional unemployment. This happens because workers looking for better opportunities don't find them immediately. When they look for work, they are considered unemployed. The same concept also applies to new graduate students looking for a job. Example: A website project for a company is completed and the web designer is looking for other companies to design websites for. Structural unemployment is created during major changes in an economic context. system. Structural means that people do not have the skills needed to find a job in today's market. Example: the shift from an industrial economy to a technological economy where so many people do not have the computer and communication skills necessary to be employable in the new market. Cyclical unemployment is generally directly linked to the state of the economy. This happens when there is not enough demand for labor. In others...... middle of article.......45.104/search?q=cache:90dc529f3bcJ:research.stlouisfed.org/publications/mt/20080501/cover.pdf+monetary+ tools&hl=en&ct= clnk&cd=6&gl=us&client=firefox-aSahadi, J. (January 7, 2008). How Bush can stimulate the economy. Retrieved September 5, 2008 from CNN: http://money.cnn.com/2008/01/04/news/economy/bush_nomic_stimulus_options/index.htm Schiller, BR (2006). Unemployment. In BR Schiller, Essentials of Economics (p. 233). Washington: McGraw-Hill. Sherman, H. (February 7, 2008). The high price of easy money. Retrieved September 5, 2008 from Market Watch: http://www.marketwatch.com/news/story/us-fiscal-policy-laying-groundwork/story.aspx?guid=%7B8EA064D0-793E-4D25-9D21-230E553A50CE % 7D&dist=morenewsSidney L. Jones, M. (2008). Inflation and deflation. Retrieved September 3, 2008, from http://encarta.msn.com/encyclopedia_761553744_2/Inflation_and_Deflation.html