How does this concept help explain why unemployment and poverty exist? How does this affect your view of unemployment and poverty?
I am not convinced that the concept of "reserve army of labor" helps explain unemployment but I found the concept interesting. When I first move to Eugene I worked for the county where we would help find jobs or retrain people who lost their jobs. I worked predominantly with Vets and some homeless.
Sometimes all we had to do was buy a pair of work boots or tools for someone and they could get a new job. Others required extensive training to get a new job. I think that the majority of the people I worked with were in the "reserve army of labor."
So back to the question, I guess the "reserve army of labor" helps explain why poverty and unemployment exists because they are "permanently unemployed" therefore that explains the unemployment part and since they do not have a job, I would assume they also have no money.
I guess the "reserve army of labor" lose their jobs and because they are unable or unwilling to move to find a job like they used to have, then they are doomed to be poor. I understand that they desire to earn the same income as the last job they had so they refuse to take a lower paying job or one the feel is below them.
This concepts does not change my view of poverty or unemployment. I still feel the same way. Some unemployed need to suck it up and get a crappy job so they can move to a new job. There are ways to get new jobs or to move with financial help.
My dad did it. We moved from Vancouver, Wa, to Oakridge, Or, to Grand Bay, Al. Now he's in Kentucky.
I belive everyone is in control of their own destiny.