Sample Thesis Paper
With recession comes unemployment both these phenomena are directly related to each other. The question that bubbles in the mind is why is that so? Reason for this is because recession in other words means the total output or GDP of an economy crashes. When the economy would crash automatically it would have an effect on the purchasing power of the people, and the trend of saving would increase in the general public rather than spending, which would eventually result that people would not be interested in buying and the sellers in the market would be left begging, and at last they would have no other option then to reduce the workforce (Seidman 2004).
Usually the after effects of recession follows as most of the people are laid off and as discussed before the unemployment level increase in this period .Those who survive do not experience any increase in their pay scales, the organization’s profits and revenues falls down the stock market have a negative effect etc (Seidman 2004).