top of page

A level and O level ECONOMICS 

Access 400+ Economics Essays With the Economics Study Pack 
(Free previews below!)

What if you could score the highest grades possible on your economics essays? Subscribe and get access to a collection of high-quality A+ economics essays.

  • Well structured

  • Simple and clear english

  • Diagrams included where relevant

  • For A level, AS level, GCSEs and O level.

Long-Term Unemployment's Impact on Relative Poverty

Analyse how long-term unemployment can cause relative poverty.



Frequently asked question



Be aware of different schools of economic thought.

➡Title: The Impact of Long-Term Unemployment on Relative Poverty
🍃Introduction: Relative poverty refers to a situation where household income is significantly lower compared to the average income in a country. Long-term unemployment can be a major factor contributing to relative poverty, as individuals facing extended periods of joblessness experience financial hardships and struggle to meet their basic needs. This essay will analyze how long-term unemployment can cause relative poverty by examining the limited income and reduced access to essential resources, the negative impact on education and productivity, as well as the psychological and health consequences that further hinder individuals from escaping poverty.
I. Limited Income and Reduced Access to Essential Resources
• Long-term unemployed individuals often face very low incomes, making it difficult to afford basic necessities such as adequate housing, healthcare, and nutritious food.
• Dependence on government benefits as the main source of income can lead to financial constraints and an inability to maintain a decent standard of living.
• Insufficient financial resources may also prevent individuals from providing their children with quality education and opportunities for skill development, limiting their future job prospects.
II. Impact on Education and Productivity
• Children of long-term unemployed individuals may face disadvantages in education, as financial constraints hinder access to educational resources and extracurricular activities.
• Limited educational opportunities can result in lower skill levels and reduced employment prospects, perpetuating the cycle of poverty across generations.
• Reduced productivity may arise from prolonged unemployment, as individuals face challenges in maintaining their skills, professional networks, and work experience, making it harder for them to secure employment opportunities.
III. Psychological and Health Consequences
• Long-term unemployment can lead to the depletion of savings, further diminishing the ability to escape poverty and invest in future opportunities.
• The psychological toll of unemployment, including feelings of hopelessness and loss of self-esteem, can reduce motivation and hinder job search efforts.
• Health deterioration is common among the long-term unemployed, as the stress and financial strain associated with poverty can lead to mental health issues, physical ailments, and reduced overall well-being, further impeding their ability to find work.
👉Conclusion: Long-term unemployment poses significant challenges for individuals, often resulting in relative poverty. The limited income, reduced access to essential resources, hindered education and productivity, and the negative psychological and health consequences all contribute to the perpetuation of poverty. To address this issue, policies should focus on promoting job creation, providing training and re-skilling opportunities, and offering comprehensive support systems to assist the long-term unemployed in overcoming barriers to employment. By addressing the root causes of long-term unemployment, societies can work towards reducing relative poverty and improving the well-being of individuals and their communities.


I. 🍃Introduction
A. Definition of relative poverty
B. Importance of understanding relative poverty
C. Thesis statement

II. Causes of relative poverty
A. Low household income
B. Long-term unemployment
C. Dependence on government benefits

III. Effects of relative poverty
A. Inability to afford basic necessities
B. Lack of access to healthcare and education
C. Lower productivity and job opportunities
D. Deteriorating health and mental health

IV. Solutions to relative poverty
A. Government assistance programs
B. Education and job training programs
C. Increasing minimum wage
D. Addressing systemic issues such as income inequality

V. 👉Conclusion
A. Recap of main points
B. Importance of addressing relative poverty
C. Call to action for individuals and governments to take action.


Relative poverty is when household income is low compared to the average (median) income in that country, e.g. less than ➡️60% of average income - Long-term unemployed have very low incomes - cannot afford items which average households are able to - e.g. adequate housing, healthcare - may depend on government benefits - may be unable to provide children with good education - children may not be able to take up good jobs - productivity may be lower - compared to those who are better educated -. Savings will be used up - reducing the ability to escape poverty - Health deteriorates - reducing the ability to find work - depression may occur - reducing the motivation to find work -




Halftone Image of a Hand

The above material is protected and is not to be copied.

bottom of page