The Social And Economic Importance Of Full Employment

Unemployment was singled out by John Maynard Keynes as one of the principle faults of capitalism; the other is excessive inequality. Obviously, there is some link between these two faults: because most people living in capitalist economies must work for wages as a major source of their incomes, inability to obtain a job means lower income. If jobs can be provided to the unemployed, inequality and poverty will be reduced - although such policy will not directly address the problem of excessive income at the top of the distribution.