involuntary unemployment

Involuntary Unemployment

In Keynesian economics, unemployment that results from low levels of investment and high levels of savings. That is, because entrepreneurs and others are saving more than they are investing, they may not have enough money remaining to keep employees on staff. See also: Cyclical unemployment.

involuntary unemployment

UNEMPLOYMENT that results from workers being unable to find paid jobs even though they are prepared to work at current wage rates because there are insufficient jobs available due to recession or because they do not have the necessary skills to perform available work. Contrast VOLUNTARY UNEMPLOYMENT. See SUPPLY-SIDE ECONOMICS.