UNEMPLOYMENT, INEQUALITY, AND CONTEMPORARY EUROPE

Oct 28, 2021 | 0 comments

Oct 28, 2021 | Essays | 0 comments

*Table of Content*
Contents
Introduction. 3
Inequality. 4
Eradication of inequality. 4
Inequality Spaces. 5
Inequality and Economics. 5
Inequality and healthcare. 5
Inequality and politics. 6
Unemployment 7
Unemployment in Europe and the United States. 10
Conclusion. 12
Reference List 14

Introduction

Europe as a continent has grown into a significantly dominant frame for the regulation, generation as well as social inequalities perception (Russell 2017, p.6). Russell (2017, p.7) describes this global as significantly solidified by the ongoing economic crisis, that has been defined by the rising inequalities between Europe’s peripheral and central groups as well as countries.
Analysis of the attempts taken towards understanding as well as eradicating inequality in the European society will bring a better enlightening to the subject matter (Jackman 1995, p.6). Moreover, according to Sen (1997, p.2), identifying and clearly defining the distinct inequalities in our societies that are misunderstood as well as misjudged in the different social space will bring a significantly better comprehension of contemporary Europe’s dynamics as well as patterns of inequality.
Furthermore, analysis on Europe’s current unemployment issue in concern of the consequential income loss of the unemployed population will enable a more precise solution path to the issues facing contemporary Europe. Sen (1997, p.8) mentions that to bring to light further the underlying issue of inequality as well as employment a vivid comparison of the United and Europe will assist enormously.

Inequality Eradication of inequality According to Heidenreich (2016, p.19), inequality over the years has been classified into economic inequality and social inequality. Heidenreich (2016, p.19) states that inequality; whether social or economic portrays a negative picture of Europe to the rest of the world. Therefore, I believe it creates a challenge towards eradication of inequality despite it being a significantly costly exercise to a Europe. The fact that the definition of eradication is not well defined and agreed to is the greatest obstacle towards the objective of effectively eradicating inequality not only in Europe but globally as well. A great debate has emerged amongst professionals attempting to take up the challenge of inequality eradication globally. Lawless, Martin and Hardy (2004, p.36), argues that in reality different variables determine the definition of inequality, and as such the existence of different and somewhat contrasting interpretations of inequality brings up contests on how to deal with the issue. I believe that Europe is doing a great deal towards trying to significantly reduce the rising rate of inequality, and eventually; hopefully entirely eradicate inequality as a whole. However, the first step Europe should take towards its attempt in the eradication of inequality is, accept that inequality cannot be defined by one interpretation. Europe should begin tackling eradication by dealing singularly with each of the variables leading to inequality. Otherwise, Europe’s significant attempts to deal with inequality will remain substantially futile. Furthermore, Sen (1997, p. 13) mentions that inequalities when it comes to incomes may differ significantly from inequalities in quite a number of the other variables, otherwise known as ‘spaces’. Variables in determining the definition of inequality include freedom, well-being as well as a vast range of factors of quality life. Therefore, Europe should have its primary interest pitched in the variable inequalities, and as such raising a debate on prioritization of the variables. With the vivid difference in variables and their inequalities, there is contesting needs in policy implications as well (Sen 1997, p.14). Jackman (1995, p.20) acknowledges that the contrast between the specific inequalities should be conceptualized as per the different spaces. For instance, inequalities in income levels may relate to the political freedom inequalities, whereas inequality in the health sector may have no relation to neither of the two. Thus, I strongly believe the difference in the conceptualization of the diverse spaces may hold great importance to the policy-making decisions (Jackman (1995, p.20). Inequality Spaces Europe needs to distinctly judge inequality as per the different existing spaces in order to effectively tackle the growth of inequality in contemporary Europe. I believe that for Europe to efficiently deal with inequality they should deal with the root causes of inequality which is distinct in the particular spaces. Each space has its different variable factors that are determined by their root causes. It is critical to view inequality as per its distinct and definitive spaces because inequality is wholly defined by a vast number of different spaces. Therefore, making the assumption of making a solution as a whole instead of making solutions as per their different spaces is a futile way to tackle inequality, as well as a great way of misleading people’s understanding of inequality and their various spaces. Thus, education on inequality and their various spaces is vital in Contemporary Europe. Inequality and Economics According to Greve (2016, p.44), there has been alarmingly significant negligence in the policy strategizing as well as education on the inequality spaces. For instance, inequalities in economics are presumed to have income distributions as its primary and central variable. Whereas, inequalities in economics has its origin from a great range of variables, that hold an enormous influence on the population’s political freedoms, life qualities, as well as overall well-beings (Sen 1997, p.15). Moreover, Europe’s growth in unemployed has resulted in turning its perspective, and total income distribution limited due to scarcity in numerous forms. Berend (2017,p.35) expresses that, the income losses resulting from employment is compensated through unemployment benefits, incentives as well as other channels of financial support. Nevertheless, financial aid by the Government’s transfer payment is substantially close, if not equivalent to the number of earnings attained through employment (Berend 2017, p.35). Beside inequalities in economics not being wholly defined by income distribution alone, income distribution holds a considerable portion of inequality in economics in terms of determining the drift in social classes (Berend 2017, p.37).Berend (2017, p.37) further explains that the drift and levels of social classes are mainly determined by the purchasing power of individuals, which is directly related to income distribution. Inequality and healthcare Sen (1997, p.21) states that inequalities in health care are not wholly dependent on inequalities in income. Sen (1997, p.21) explains that inequalities in health hold entirely different issues from inequalities in income, although they may be closely related. For instance, Russia faced a critically challenging health crisis in its past, where their hospital systems, as well as their medical services, fell into a significant threat and breakdown. Whereas Russia’s the economy was on a firm growth rate, thus a moderate fall in the inequalities in income despite the healthcare sector breakdown crisis (Sen 1997, p.22). Thus only proving that inequality in the health sector has greater underlying causes besides inequalities in income distribution. Therefore, I believe Europe should not drive its focus on dealing with inequality in the health sector on inequalities on income alone. But, essentially thrive on discovering the other underlying issues that lead to the growing inequalities in the health sector. Inequality and politics According to Garcilazo (2007, p. 65), inequality in politics is determined by the participation of the population in politics. Garcilazo (2007, p.66) points out that Europe holds residence of a people who are known to be patriotic as well as highly democratic. Despite that, I see that Europe has an alarmingly rising rate of inequalities in politics that has its origin and stronghold in the political processes as well as the public policies. As per Garcilazo (2007, p.66), participation in Europe’s population varies significantly between the cultural and the social groups. Moreover, the difficulty involved in the alarmingly lengthy processes involved in the settling of immigrants legally causes restriction to the immigrants’ political voting right and; slide lining them from Europe’s politics (Greve 2016, p.62). Therefore, Europe’s political processes limit the immigrants from their political freedoms. Solving the inequality issue in Europe will require inequalities in politics to be tackled first because if persistent it may cause a significant setback in Europe’s progress, particularly in social integration. Unemployment
Unemployment has risen to become one of the biggest nuisances in Europe (Wood 1994, p.56). Wood (1994, p.56) mentions that unemployment has not only become a massive threat to Europe’s economic growth, but it poses a great threat to Europe’s social as well as political growth.
Unemployment over the past years has caused some drastic negative effects on contemporary Europe as a whole. Unemployment has brought about a vast range of adverse effects on Europe; these effects have significantly accumulated (Wood 1994, p.57).
It is critical to essentially comprehend the nature as well as the impact of unemployment to enable a more effective policy-making process.
Amongst the numerous impacts of unemployment in Europe are;
*Loss of potential GDP *
According to Fadda and Tridico (2016, p.62), employment is a hole in production that causes unnecessary loss of the potential production. Reduction in production levels leads to a significant loss in the GDP. Furthermore, the unemployed individuals require the Government’s support in providing for their families, thus leading to utilization of resources that is not reciprocated by the individual due to their unemployed state (Fadda and Tridico 2016, p.63).
*Technological growth*
The rate of technology’s growth and development particularly in Europe is amazingly high. Therefore the rate of loss of employment due to technological embracement has risen significantly (Berend 2017, p.47). Every organization is thriving towards keeping up with the fast-changing pace of technology to maintain the quality of their products to compete with their competitors at the same level. Therefore, the jobs lost to the technology upgrades make the unemployed seem like collateral damage to achieve an organization’s objective (Berend 2017, p.47).
*Social exclusion *
Lack of employment automatically leads to limited resources, and as such limited and low purchasing and spending power to the entire unemployed population (Davis 1996, p.35). Davis (1996, p.36) points out that, unemployment positions individuals in an invisible prison where they lack the freedom to make crucial financial decisions especially since they are under social insurance support. Therefore, the unemployed are limited to spending on essential need and cannot venture out on attending to other social needs, thus living under the social exclusion.
Davis (1996, p.35) defines social exclusion as living barred from the community’s activities and thus enhancing self-exclusion by forced choice.
*Psychological injury*
According to Cox and Mason (1999, p.51), unemployment runs a major cause of psychological hurt and damage to a considerable percentage of the unemployed. Cox and Mason (1999, p.51) point out that the longer the time one stays out of employment, the greater the risk of psychological injury.
Living without a source of income leads to high levels of stress, levels of stress that enhance morale and confidence demolition. Unemployment then becomes a major cause of alcoholism and drug addiction in Europe, especially amongst the unemployed youth.
However, the hardships associated with unemployment are reduced immensely with the help of the unemployment support system put in place by the European governance (Berend 2017, p.48).
*Poor relationships*
According to Wood (1994, p.36), unemployment runs amongst the top causes of broken relationships. Wood (1994, p.36) expresses that unemployment is highly toxic when it comes to social relationships. Moreover, unemployment causes enormous and drastic drifts in most family set ups. The change in economic status more often than not leads to drift between social friends as well (Wood 1994, p.37).
*Long-term skill loss*
When an individual stays out of employment for a long time, he or she eventually losses the skills attained through practice as well as specialization (Fadda and Tridico 2016, p.65). Moreover, skill runs on a depreciation scale, particularly when in the absence of practice. Fadda and Tridico (2016, p.65) argue that skill depreciation may not only lead to skills attained lost but it may eventually lead to an individual losing their self-confidence as well.
*Negativity to potential prospects *
Lawless, Martin and Hardy (2004, p.48) argue that the level of motivation loss that occurs during the unemployment period may cause a lasting effect on an individual’s personality. Therefore, when he or she finally attains a job opportunity, they get into the job with low motivation levels, affecting their productivity as well as skill picking process (Lawless, Martin and Hardy 2004, p.48). Sen (1997, p.23) states that the adverse motivation effect is highly dominant in the younger women.
*High mortality rate*
Sen (1997, p.23) points out that a great number of suicide victims were individuals who fell under the frustrations and hardships associated with living under unemployment. Moreover, there are a number of illnesses that remain unknown until the demise of an individual caused stress drain by living under the harsh conditions brought about by unemployment (Sen 1997, p.23).
*Gender and racial inequality*
Wood (1994, p.39) argues that unemployment has grown its effects to become one of the primary causes of gender rifts as well as racial tensions. Wood (1994, p.39) further explains that in Europe the most significant population affected by the menacing unemployment rates is the minorities. The legalized immigrants, for instance, face a great deal of unhealthy competition for jobs in the different organizations due to the politically fed racism as well as intolerance.
Moreover, as per Wood (1994, p.39) argument, gender drifts are quickly becoming a great nuisance in Europe, particularly because employment in organizations tend to favor the male population as compared to the female population. Unemployment in Europe and the United States
According to Bertola and Ichino (1995, p.39), Europe and the United States are both facing the great menace of exceedingly high unemployment rates in their countries. Bertola and Ichino (1995,p.39) however point out that there is a number of contrasting views both Europe and the United States have in concern with tackling the unemployment issue.
First of all, the United States shows questioningly minimal political commitment to policy implementations as compared to Europe (Sen 1997, p.20). The American policies concerning health care for its whole population even with no insurance nor any form of medical coverage has faced great levels of political resilience. Whereas the American limitation on the Government’s support system is not likely to occur in Europe’s governance.
Secondly, the United States has a greater commitment towards a self-help culture where unemployment is highly discouraged, and as such, there is a great fight against individuals living with no medical insurance (Sen 1997, p.20). The American culture has put up a great fight against the growth of poverty in its culture. Whereas the European governance works towards fighting for the protection of an individual’s welfare state and providing a great deal of support to its citizens.
Thirdly, Sen (1997, p.20) states that the European governance tends to focus on making unemployment to be more tolerable rather that regrettable and where the United States governance lead in the opposite direction. The American governance establishes and implements policies that somewhat increase the difficulty in attaining the unemployment benefits, limiting the benefits to retirement benefits as well as disability benefits. Bertola and Ichino (1995, p.42) state that the living conditions in unemployment in Europe is much bearable as compared to the United States.
Therefore, the youth in America tend to be socialized to live in self-reliance; this is because they step out of school knowing unemployment is a difficult situation to live in and as such create goals for themselves and are psychologically prepared for the hustle whether employed or not (Bertola and Ichino 1995, p.43). On the other hand, a high percentage of Europe’s youth are socialized familiar in dependence of the government; therefore they tend to be comfortable with unemployment. As a result, only a small number of the youth attain a drive towards hustling in case of unemployment (Bertola and Ichino 1995, p.43).
Furthermore, America has a substantially balanced implementation of self-help concept. America has learnt over the years the balance between unnecessary losses and achieving their objectives in social ethics (Bertola and Ichino 1995, p.43). While Europe is still behind is establishing a minimal cost loss self-help concept in its policies. According to Bertola and Ichino (1995, p.44), Europe tends to value their implemented social support; however, they have noticed the huge burden as well as the adverse effect it brings on the productivity of its population. Therefore, Europe has accepted the idea of adjusting their policies to efficiently work towards maintaining the welfare of the unemployed in the society but at the same time strives towards minimal dependency. Conclusion
Europe is taking great strides towards tackling unemployment as well as inequality within its society. Unemployment has no doubt proven to be a great nuisance that is working against Europe’s economic, social as well as political growth. Europe has embraced the self-help concept and has worked diligently towards assisting those within the unemployed population, although it has encouraged dependency instead of self-reliance amongst a considerable percentage of the unemployed population.
However, the negative impacts of unemployment as well as inequality are severe and have become extensive in the entire European society and should be dealt with as soon as possible. Tackling both issues; unemployment and inequality will undoubtedly pave the way to enhancing racial harmony, social integration, gender fairness, personal confidence as well as overall work motivation. The fight against the growth rates of inequality as well as unemployment can only be powerful and more effective if fought as the European Society together with the European governance.
Reference List

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FADDA, S., & TRIDICO, P. (2016). Varieties of economic inequality.
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