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How does unemployment efect government?

Please list thre examples I have loked and looked but i really need some help can anybody help me

This open post was written 1 year ago | V/U/S: 501, 1, 2 | Edit Post | Leave a reply | Report Post


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wolfsilverwolf offline Verified User (1 year) Long Term User Shouts: 0 #
An Unknown Location | 1 year ago (6 minutes after post)

There are a few ways unemployment affects government. For example…

1.) More money is spent on welfare for unemployed people by the government.
2.) If unemployment rates are high, the government in charge is blamed for economic problems that resulted in this high rate.
3.) The more unemployed people there are, the less likely some luxury items (say, cars) will be bought, which may result in a government bailout if the luxury item companies in trouble are also a good source of a country’s revenue from tax dollars.

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