Inadequate investment, Keynes argued, would leave the economy deprived of demand and workers bereft of employment.
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In times of economic woe, when normal patterns of consumption and investment are frozen, prodigal government spending can sometimes be the only way to break the vicious circle of declining demand and shrinking employment.
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Macroeconomic regulation that ensures a sufficient level of aggregate demand to lead to full employment.
If you find the above totally unconvincing, just remember that in the long run, the supply of labor is just as important in determining the level of domestic employment as the demand for labor.
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Demand Three: Guaranteed living wage income regardless of employment and a twenty dollar hourly minimum wage for those who choose to work.
In this scenario, the increased commodity prices would be a function of strong demand, probably accompanied by increased employment and wages that would offset higher prices.
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The Law of Demand (the higher the price of anything, the less will be taken) predicts that employment will be adversely affected, especially for young and unskilled workers.
Over time, inadequate demand will be offset by declining wages and other costs of employment.
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Nor are cuts going to help: take demand out of the economy and you reduce the number in employment.
These positive effects are transitory, however, when local economies have insufficient permanent employment to justify a constant level of demand for new housing stock.
Both within and outside of the auto sector, the confluence of policy, consumer demand and automaker investment will boost employment and the economy as a whole.
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In his view, which has some prominent supporters, it is not a lack of supply, but a fall in real wages which has helped maintain employment and profits in an environment of slow demand.
Customers (students) are looking for more courses that directly enhance their chances of employment, so the universities are responding to that demand.
In other words, higher employment of over-55s reflects not just relatively stronger demand, but more supply.
When employment growth returns they will be a key driver of rental demand.
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Ultimately, the power is in the hands of consumers to drive down the demand for extended shopping hours, retail and employment experts agreed.
The only sector where there has been continuing employment growth through the recession is self-employment (ok, so developers are in big demand too but many of those are freelance talent).
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In fact, if you ask me what the level of employment will be five or 10 years from now, I would probably ignore demand factors and focus on supply factors such as the expected growth in the labor force due to demographics and factors affecting the labor force participation rate.
But, while employment growth needs adequate aggregate demand growth to spur the demand for labor, the supply of labor is also important.
But according to Manpower, another employment agency, the mismatch between supply and demand is starkest in Brazil, where 64% of employers report difficulty filling vacancies, against 40% in China and 16% in India.
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