• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month
Page
  1. 1
    1
  2. 2
    2
  3. 3
    3
  4. 4
    4
  5. 5
    5
  6. 6
    6
  7. 7
    7
  8. 8
    8
  9. 9
    9
  10. 10
    10
  11. 11
    11
  12. 12
    12
  13. 13
    13
  14. 14
    14
  15. 15
    15
  16. 16
    16
  17. 17
    17
  18. 18
    18
  19. 19
    19
  20. 20
    20
  21. 21
    21
  22. 22
    22

In what ways is the government attempting to increase the willingness to wor

Extracts from this document...

Introduction

In what ways is the government attempting to increase the willingness to work? How effective have these policies been? What other policies could the government pursue to reduce the rate of unemployment? Alperton Community School Centre No. 12302 Candidate No.0141 JAYESH PATEL INTRODUCTION There are many ways the government can increase the willingness to work. These are achieved through supply-side or demand-side policies. I will be looking at how effective these policies have been, and what other policies the government could pursue to reduce the rate of unemployment. Supply side policies can help increase the willingness to work. I will talk about the policies the government uses to reduce unemployment levels. Policies to be discussed include trade union reforms, where some of the legal protections enjoyed by the trade unions have been taken away, including restrictions on their ability to take industrial action. An increase in spending on education and training can also help as it helps the unemployed achieve new skills in which they may get a wider variety of job opportunities. The reduction of income tax and incentives to work would also increase the willingness to work. The government could also use other ways to reduce the rate of unemployment, such as demand side policies. I will talk about the different ways in which they could pursue these policies. Ways such as lower taxation along with increased government spending and lower interest rates. There are two types of unemployment voluntary and involuntary. An important difference is that voluntary unemployment is when a worker chooses not to accept a job at the going wage rate and involuntary unemployment is when a worker would be willing to accept a job at the going wage but cannot get an offer. Unemployment and the production possibility frontier The government has used various policies to increase willingness to work. Using methods such as supply side and demand side polices. ...read more.

Middle

It also encourages people who are on benefits to find a job as before the minimum wage it may have been more beneficial not to work and collect benefits. On the whole the introduction of the minimum wage has improved the willingness to work. New Deal In April 1998 the Labour government introduced a programme called the New Deal, it's a �4 billion + scheme targeted at increasing the employment prospects for the long-term unemployed and reducing structural unemployment by training people to enter sectors where there are many jobs available but not enough employees. The New Deal has been quite effective, as since it was introduced unemployment levels have decreased. In 1998 when the New Deal was introduced unemployment stood at roughly 6.5%, since then it has gone just below 5% and it currently stands at 5.5%. It has helped those without a job gain new skills to be ready for the working world. By July 2001 after 4 years of unemployment the New Deal programme had helped 300,000 youngsters get jobs. However more youths are now out work since the Labour government took over in 1997. Since then youth unemployment has risen by 37,000 from 665,000 to 702,000 in 2006. The new deal helped more than 190,000 get jobs. This would indicate the New Deal programme had been hugely successful, however this is not the case. The new deal has helped however there is a question of many would people would have got jobs anyway without the need of the new deal. There are criticisms of the New Deal. A criticism is that unemployed people attending New Deal courses are not counted towards the Government's official figures for people of working age who are claiming unemployment. Critics say that New Deal was designed with this in mind, to allow the Government to release lower figures for unemployment. I think the new deal has helpful towards increasing willingness to work, however not to the extent to which is being projected. ...read more.

Conclusion

Some of the policies used by the government have been very effective, however some not so much. Increased spending on education and training has been quite effective, as it has helped people learn new skills and helped increase incentive for people to work. The minimum wage has been effective in some ways but not in others. The minimum wage has definitely increase the supply of labour, as people would be more willing to work at a higher wage and this is shown by the reduction in unemployment. However higher wages mean some firms may not be able to keep as many workers at the new wage, and ultimately may have to sack employees. So the minimum wage has its good and bad points. Another way the government has tried to increase willingness work is by introducing the new deal, some see this as a failure some don't. Overall figures show it has got people into jobs, however youth unemployment has risen during this time. Also there is a question over whether the people who got jobs through the new deal would have got jobs anyway without the help of the new deal. There is also a criticism over whether the government introduced the new deal to cover unemployment figures. On the whole I don't think the new deal was that effective. Finally I would recommend that the government carry on with the policies which have been successful such as increased spending, lower taxation, as well as trying to curb inflation along with interest rates and introducing more incentives for people to work, such as schemes similar to the working families tax credit. Reference 1. www.tutor2u.com 2. www.s-cool.com 3. www.bized.com 4. www.revisionguru.com 5. www.ons.com 6. www.bbc.co.uk 7. www.times.com 8. www.guardian.com 9. www.wikipedia.com 10. Daily Mail 11. Guardian 12. Evening Standard 13. Times 14. Economics - 2nd Edition - Alain Anderton 15. Economics revision guide ?? ?? ?? ?? Jayesh Patel Alperton Community School Centre No.12302 Candidate No.0141 - 3 - Jayesh Patel Alperton Community School Centre No.12302 Candidate No.0141 ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our AS and A Level UK, European & Global Economics section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related AS and A Level UK, European & Global Economics essays

  1. To what extent was Pitt responsible for the national revival after 1783?

    This was followed by a reduction of wine, spirits and tobacco. The Hovering Act of 1780 increased the threat of detection because it meant that officials could now search ships with suspicious cargoes 12 miles out of port. This helped the National Revival because it meant that less people would

  2. Where does the World Trade Organisation fit in the overall scheme of international public ...

    defending them against tariff and non-tariff protection by more powerful players; and, more generally, in providing them with a secure framework of non-discriminatory rules. Hence they agreed to bind MFN tariffs for the first time in the Uruguay Round, and generally came round to support a pro-liberalisation agenda in multilateral

  1. To What Extent Did Imperial Concerns Guide British Foreign Policy Between 1890- 1907?

    although "British control of the Sudan was assured, [...] the French still had hopes in the area" (Norman Lowe). This lead to the Fashoda Incident in 1898, Salisbury wanting to neutralise French ambitions in the Sudan from threatening trade: the result was "viewed as a personal triumph for Salisbury"- Norman Lowe.

  2. To what extent and in what ways are the strategies of multinational companies influenced ...

    Ownership and control is enforced by the parent company. Companies such as IBM, tend to own all their subsidiaries. Thus, all profits are accrued to the home nation and local influence is severely limited. 2. Another factor that links the multinational's strategy with the country of origin is that "companies

  1. Carbon Credit Trading

    Firms' revenues from the carbon market are increasing rapidly worldwide, generating a 116% increase of total revenues acquired by firms in 2006. The International Energy Agency (IEA) predicted that the world's energy needs will increase by 60% from 2008 to 2030.

  2. This report will consider the opportunities and restrictions involved in exporting a single premium ...

    10 Koreans often hold a business drinking meeting and that can be seen as bringing business people together. It is also important for Koreans to use two hands when giving or receiving something. For example, when giving or receiving a business card both hands should be used.

  1. International Trade - I have been asked to investigate the possibility of a company ...

    Figure 4 China Developing Country China is a developing country because over the last few decades it has seen a boom in the number of exports that it has needed to do also the technology it offers has improved vastly and this has seen a demand in the amount of

  2. NEW TAX PROPOSITION

    In many cases, this is unavoidable as the Internet has become vital to the world we live in. However, one aspect of the Internet has huge and highly inelastic demand, has additional negative effects attached, known involved parties and is not a necessity. What is this mysterious component of cyberspace?

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work