Costs of economic growth. Labor problems.
In recent years, many people have argued that economic growth is a mixed blessing. The advantages of growth are fairly clear. What are the disadvantages then? Four of them are: (1) use of natural resources that cannot be replaced, (2) generation of waste products, (3) destruction of natural environments, (4) uneven growth among different groups of society.
There is one more problem concerning economic growth that is called labor problem. At the time of growth the old equipment is replaced with the new one, and many workers become redundant because the work they do are no longer required. For example, the introduction of computer typesetting spelled unemployment for many Linotype and other machine operators. The research showed that the computerization spells unemployment on one hand but makes a lot of jobs easier on the other.
Those who lost their jobs in this connection either find full or part-time employment or take retraining programs.
The study showed that employment was closely connected with age, ability to obtain new skills, family status and so on.
I think I ought to say right from the start that the retraining of people over 50 has no common sense, because the probability of finding a new job in new specialty is very small. Employers are looking for young professionals. Retraining of young professionals will be repaid in the future.
For one thing no retraining of workers will save a lot of money, for another will entail social problems. In the families of the unemployed will develop poverty. Usually this leads to an increase in crime, alcoholism and drug addiction. But the truth is more costly for the society.
In the end, I would like to say about the benefits to the economy in the retraining of workers. If the worker will receive a new good profession, then he will find high-paying job, which means unemployment will be less.
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