Unemployment Risk Evaluation during Recession - Paper Example

Global recession recently has clouded the economy of the world. As a result of the worldwide recession, there have been new disequilibria that have amplified some cyclical fluctuations. In most cases, an economic recession is frequently considered as a short term event. However, in the real sense, the impacts of economic recession have long term consequences ranging from income decrease, increase in the rate of unemployment, loss of business opportunity and loss of investment.

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However, the two recession-proof jobs that should be considered as "recession-proof" business careers are the medical profession and insurance providers. In the case of medical professionals, people usually get sick, whether the GDP (gross domestic product) either shrink or grow (Reuter, 2013). The facts are, stress factors spike and the general public health worsen during the recession. This implies that medical professional such as nurses, doctors and even medical technicians remain untouched during the recession. Consequently, insurance providers during the recession are in deep demand. With few been employed, the few eventually end up having life and health insurance. Hence, even when unemployed, many tend to prioritize health insurance as one of the mandatory expenses.

Every industry strives for growth as well as strong earning irrespective of the economic conditions. However, many industries fail because of their nativity to their loyalty customers, and failure of comprehending contagion that seeps the industry from elsewhere (Hoynes et al., 2012). Therefore, some industries experience a decline in revenue, especially during recession period while others which are "recession-proof" basically experience a growth in their profit and revenue (Rollins et al., 2012) Hence, it is not harder to gain employment in these "recession-proof" industries due to their improved stability. Instead, many "recession-proof" industry tend to seek more workers to cope with the increased demand for services required, which make it easier to secure an opportunity in these industries.

In conclusion, the economic recession is a period that is marked with economic decline. The period is accompanied by a massive decrease in the stock market, and an increased rate of employment. Therefore, there is no advantage associated with working in those industries that fluctuate rapidly with the economy's ups and downs. Those working in industries negatively affected by economic recession are laid off in cutting as well as stemming loss which leads to high levels of unemployment.

References

Hoynes, H., Miller, D. L., & Schaller, J. (2012). Who suffers during recessions?. Journal of Economic perspectives, 26(3), 27-48.

Reuter, J. (2013). Five steps to a recession proof career. Industrial and Commercial Training.

Rollins, M., Nickell, D., & Ennis, J. (2014). The impact of economic downturns on marketing. Journal of Business Research, 67(1), 2727-2731.