Points 150 Assignment 31: Determining Causes And Effects Dra
Points 150assignment 31determining Causes And Effects Draft Versio
Points 150assignment 31determining Causes And Effects Draft Versio
Provide a clear thesis statement. Describe the major cause. Describe a leading second cause. Describe two (2) other contributing causes. Describe three (3) effects of the cause on the economy. Describe three (3) effects on people. Develop a coherently structured paper with an introduction, body, and conclusion. Provide 3 relevant and credible sources to support claims. Clarity, writing mechanics, and formatting requirements.
Paper For Above instruction
Introduction
Understanding the causes and effects of significant social and economic issues is essential for developing comprehensive solutions and fostering awareness. In this paper, we examine one specific cause, explore its secondary causes, and analyze its impacts on the economy and people. A clear thesis statement will guide this discussion, highlighting the interconnected nature of causes and effects in societal phenomena.
Thesis Statement
The rising unemployment rate in the modern economy is primarily driven by technological automation, which has led to significant economic and social consequences affecting both communities and individual lives.
Major Cause
The predominant cause of increasing unemployment is technological automation, characterized by the adoption of artificial intelligence, robotics, and machine learning that replaces human labor across various industries. Automation improves efficiency and reduces costs for businesses but simultaneously displaces workers, leading to job losses in manufacturing, retail, and even service sectors (Brynjolfsson & McAfee, 2014).
Leading Second Cause
A significant secondary cause is the decline in traditional manufacturing industries due to globalization and outsourcing. Many companies relocate production to countries with lower labor costs, reducing domestic employment opportunities (Autor, 2015). This shift compounds the effects of automation, further increasing unemployment rates within the local economy.
Two Other Contributing Causes
First, inadequate workforce skills and educational gaps hinder workers from transitioning into new jobs created by emerging industries. Many displaced workers lack the necessary technical skills, resulting in prolonged unemployment (Carnevale et al., 2014). Second, economic downturns, such as recessions, temporarily reduce job openings and consumer spending, aggravating unemployment levels and economic instability.
Effects of the Cause on the Economy
The primary economic effect is decreased consumer spending, which leads to slower economic growth and potential recessionary cycles (Schmitt & Wachter, 2019). Unemployment reduces tax revenues, constrains government spending on public services, and increases dependency on social welfare programs, straining public finances (OECD, 2018). Additionally, persistent unemployment fosters economic inequality, with marginalized groups disproportionately affected, exacerbating social disparities.
Effects on People
On an individual level, unemployment causes financial hardship, increased stress, and a decline in mental health, affecting overall well-being (Paul & Moser, 2009). It also leads to social isolation and loss of professional identity, which can result in long-term negative consequences for personal development. Families bear the emotional and financial burdens, impacting children’s education and community stability.
Conclusion
The rise in unemployment driven by technological automation and global economic shifts has widespread repercussions on the economy and individual lives. Addressing these causes requires strategic investments in workforce retraining, educational reforms, and social support systems. Only through holistic approaches can societies mitigate the adverse effects and foster resilient economies capable of adapting to technological advancements.
References
- Autor, D. H. (2015). Why Are There Still So Many Jobs? The History and Future of Workplace Automation. Journal of Economic Perspectives, 29(3), 3-30.
- Brynjolfsson, E., & McAfee, A. (2014). The Second Machine Age: Work, Progress, and Prosperity in a Time of Brilliant Technologies. W. W. Norton & Company.
- Carnevale, A. P., Smith, N., & Strohl, J. (2014). Recovery: Job Growth and Education Requirements Through 2020. Georgetown University Center on Education and the Workforce.
- OECD. (2018). The Future of Work: Automation, Employment, and Skills. OECD Publishing.
- Paul, K. I., & Moser, K. (2009). Unemployment Impacts on Mental Health: The Role of Socioeconomic Factors. Social Psychiatry and Psychiatric Epidemiology, 44(5), 389–396.
- Schmitt, J., & Wachter, T. (2019). The Impact of Automation on the US Economy. Economic Policy Institute.