Question

In: Economics

How are workers affected by employers' policies to only hirethose who are already employed?

How are workers affected by employers' policies to only hire those who are already employed?

Solutions

Expert Solution

The unemployment discrimination affects workers in many ways. Because of it their long-term unemployment extends beyond income loss. They are also more likely to remain unemployed because of this discrimination. Moreover skills do deteriorate without use; and as a result downsize their performance. They are more prone to turn to drug abuse, excessive drinking, domestic violence, and crime. Thus discrimination by employers creates excessive negative consequences that extend far beyond the income.


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