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The stock market is not directly related to the unemployment rate of a country. But when the employment rate in the country is high and the economy booming, usually the Stock Market goes up consistently. This is because people have a lot of money and they invest in stocks and stock market instruments.
During recessions and economic hardships there is a lot of unemployment and lack of liquidity. During such times the stock market goes down because people withdraw their investments to meet their cash requirements.
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Define the natural rate of employment?
The natural rate of unemployment is the rate which occurs when inflation is correctly anticipated. This level of unemployment occurs when the labour market is in equilibrium.
What are the four main economic variables?
The four main economic variables (in macroeconomics) are 1. Real Gross Domestic Product (GDP) 2. The unemployment rate 3. The inflation rate 4. The interest rate -------- 5. Level of the stock market 6. Exchange rate
Which of the economic indicators is most likely to be high during a recession?
Unemployment rate
What was the unemployment rate in 1969?
The unemployment rate in June of 1969 was 10.2 percent under president nixon...
What is the unemployment rate a subject of?
microeconomic
What was the approximate unemployment rate four years after the stock market crash?
25%
How do you calculate frictional unemployment rate?
To calculate frictional unemployment rate you have to get the labor market turnovers. The frictional unemployment is the portion of the unemployment rate that results from the labor market turnovers.
Define the natural rate of employment?
The natural rate of unemployment is the rate which occurs when inflation is correctly anticipated. This level of unemployment occurs when the labour market is in equilibrium.
How is the job market in bay area?
With 12% unemployment rate in CA the market is still very tough
What are the four main economic variables?
The four main economic variables (in macroeconomics) are 1. Real Gross Domestic Product (GDP) 2. The unemployment rate 3. The inflation rate 4. The interest rate -------- 5. Level of the stock market 6. Exchange rate
What is the current exchange rate for the stock market?
Current exchange rate for the stock market is different for every country. Encyclopedia should have a lot more information on the exchange rate from countries to countries.
Risk free rate is 5 and the market risk premium is 6 What is the expected return for the overall stock market What is the required rate of return on a stock that has a beta of 1.2?
Expected return= risk free rate + Risk premium = 11 rate of return on stock= Riskfree rate + beta x( expected market return- risk free rate)
What is the Unemployment rate now?
What is the national unemployment rate
What was the unemployment rate in the US for August?
The Official Unemployment rate (U-3) in US for August 2011 was 9.1.Below are the other unemployment rates in US for August 2011 :U-1 Unemployment rate : 5.4U-2 Unemployment rate : 5.3U-3 Unemployment rate : 9.1U-4 Unemployment rate : 9.7U-5 Unemployment rate : 10.6U-6 Unemployment rate : 16.2
What will be the gold rate in next month-?
It is impossible to tell whet the rate of gold will be in one month as the rate fluctuates daily with the stock market.
What is the average rate of return of the stock market in the last 25 years?
11%
If the risk-free rate is .06 and expected return on the market is .13. What is the requred rate of return on a stock that has a beta of 7?
49%....in reality no stock has a beta of 7
