Yes, there do exist a direct and positive relationship between unemployment and poverty. Unemployment leads to poverty and poverty in turn leads to unemployment.
An unemployed person has no means to earn money and cannot fulfill his own and his family’s basic needs. He and his family cannot avail quality education, medical facilities and has no means to create income-earning assets. Such circumstances often compel indebtedness. Consequently, an unemployed person exaggerates poverty for his family due to indebtedness. This confirms the positive relationship between unemployment and poverty.
If government wants to alleviate poverty, then it should aim at creating new employment opportunities. As a result, more people will get employed and perhaps their income will rise. This rise in income will improve their access to quality education, better health care and other basic amenities. Further, these newly employed people will experience appreciation in their living standards and can create income-earning assets. The combined result of all these factors leads to alleviation of poverty. Hence, there exists a positive (but a negative) relationship between unemployment (employment) and poverty.
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Yes, there do exist a direct and positive relationship between unemployment and poverty. Unemployment leads to poverty and poverty in turn leads to unemployment. An unemployed person has no means to earn money and cannot fulfill his own and his family’s basic needs. He and his family cannot avail quality education, medical facilities and has no means to create income-earning assets. Such circumstances often compel indebtedness. Consequently, an unemployed person exaggerates poverty for his family due to indebtedness. This confirms the positive relationship between unemployment and poverty. If government wants to alleviate poverty, then it should aim at creating new employment opportunities. As a result, more people will get employed and perhaps their income will rise. This rise in income will improve their access to quality education, better health care and other basic amenities. Further, these newly employed people will experience appreciation in their living standards and can create income-earning assets. The combined result of all these factors leads to alleviation of poverty. Hence, there exists a positive (but a negative) relationship between unemployment (employment) and poverty
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Loosely correlated but not exact. Unemployment insurance income counts as income and your former salary (thus the amount you paid in to the system) might be much higher than the poverty level of income. Also, you might be in a two-income household and your spouse could make six figures. This actually happened to a LOT of people after Greenspan pricked the NASDAQ bubble that he had created in the first place. You had a husband and wife in tech and one lost their job and looked for another and did occasional consulting work while collecting unemployment. By the time the benefits ran out, interest rates were so low that the couple refinanced their mortgage and now it made sense for one of them to stay at home and pull the kids out of daycare. There were a half dozen examples of this just in my neighborhood - if you multiply this times the rest of the country I think that gets you to the 3 or 4 million people that Krugman thinks aren't counted in the unemployment figure because they supposedly "gave up looking."
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Let me explain you in short. See this is a vicious circle of poverty. poverty and unemployment and directly reated to each other. firstly when unemployment occurs when there is low production is required and maret does not raise needs then people lose there jobs. this was the situation in USA .. Then after this if there will be not employement for a long time , people's savings will finish and they will have move to a lower standard and slowly they move down to a level of poverty where theydon't have money for basic amenities.
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Many people lose jobs from time to time and find new ones. Indeed, there is a proportion of those unemployed for a short term, usually less than 26 weeks, who represent what economists call ?frictional? unemployment. People move, get married or any number of other circumstances that cause them to leave or quit a job; new jobs are usually not instantly there. These people are out of work but, depending on the definition, may or may not be counted as unemployed.
Then there are people who lose jobs or who face such barriers to employment as to make getting a job, without help, very unlikely. They are likely to experience chronic or permanent unemployment. These people are prone to become poor, at least temporarily.
So, yes, there is a causal effect between unemployment and poverty. If you don?t have a job and have no other source of income, you will inevitably become poor.
The question you might then ask is whether poverty will make it hard to cease being unemployed. The quick answer is yes. If you are poor, you will likely lack the means to hear of jobs, go to job interviews and dress for them. You may also have very little schooling because you are poor and thus be unable to apply for jobs that require you know some particular topics or skills.
Still, strictly speaking, being poor won?t make you unemployed.
Indeed, there are unscrupulous and corrupt employers who pay so little that their employees are poor. These are called the working poor. Their existence is shameful, both to the employers and to the country that allows such a thing to happen. No one who works should be poor. Yet it happens.
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An unemployed person has no means to earn money and cannot fulfill his own and his family?s basic needs. He and his family cannot avail quality education, medical facilities and has no means to create income-earning assets. Such circumstances often compel indebtedness. Consequently, an unemployed person exaggerates poverty for his family due to indebtedness. This confirms the positive relationship between unemployment and poverty.?
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An unemployed person has no means to earn money and cannot fulfill his own and his family?s basic needs. He and his family cannot avail quality education, medical facilities and has no means to create income-earning assets. Such circumstances often compel indebtedness. Consequently, an unemployed person exaggerates poverty for his family due to indebtedness
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The poverty means the person is poor it's means also that not be able to fulfill their basic needs of Food, shelter, clothes, health and education.
So now both of them are related with each other if a person doesn't have a work to do the poverty is increase.
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2.They both are interrelated, poverty occurs due to unemployment or seasonal employment because poor people have lack of knowledge and lack of quality education so because of this again poverty occurs.
3.This is a cyclic process.
4.poverty-----unemployment ----- lack of quality education -----poverty. This process continues as it is a cyclic in nature
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