Frictional Unemployment

Frictional Unemployment
Unemployment that is always present in the economy, resulting from temporary transitions made by workers and employers or from workers and employers having inconsistent or incomplete information.

For example, a first-time job seeker may lack the resources or efficiency for finding the company that has the job that is available and suitable for him or her. As a result this person does not take other work, temporarily holding out for the better-paying job.

Another example of when frictional employment occurs is when a company abstains from hiring because it believes there are not enough qualified individuals available for the job, when in actuality there is.

Investment dictionary. . 2012.

Look at other dictionaries:

  • frictional unemployment — ➔ unemployment * * *    Unemployment caused by the time it takes workers to search for a job. This is sometimes inevitable in a changing economy.    ► See also Unemployment. * * * frictional unemployment UK US noun [U] (also search unemployment)… …   Financial and business terms

  • frictional unemployment — noun A type of unemployment explained by people being temporarily between jobs, searching for new ones. Labour market is regarded as being in the state of full employment, if frictional unemployment is the only kind of unemployment present …   Wiktionary

  • frictional unemployment — A minimal level of unemployment that will occur in even the most efficient economy. Frictional unemployment exists because of lags between workers leaving one job and taking up another and because there are times of the year when many new workers …   Big dictionary of business and management

  • frictional unemployment —   period of unemployment when a worker is between jobs …   Geography glossary

  • frictional unemployment — See unemployment …   Dictionary of sociology

  • frictional unemployment — (Economics) temporary unemployment resulting from regular turnover of labor (people moving homes, changing careers, etc.) …   English contemporary dictionary

  • frictional unemployment — noun Economics unemployment due to people being in the process of moving from one job to another …   English new terms dictionary

  • frictional unemployment — noun : the temporary unemployment of resources (as labor) resulting from job changes, imbalance of factors of production, or short term lack of mobility preventing continuous employment …   Useful english dictionary

  • frictional-unemployment — adjective noun …   Wiktionary

  • frictional unemployment — Econ a situation in which people are temporarily out of the labor market. They could be seeking a new job, incurring search delays as they apply, attending interviews, and relocating …   The ultimate business dictionary

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