Module: OTE2601 Economic and Management Sciences
Student number: September / October 2021 Examinations
OTE2601 15 SEPTEMBER
EXAMINATION ANSWERS
written by
Liz
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, Module: OTE2601 Economic and Management Sciences
Student number: September / October 2021 Examinations
Question 1
1.1
• When people lose their jobs and get unemployed, their self-respect and human
dignity are affected, and they must reduce their living standards. Many people
must sell their homes and move in with family because they cannot afford a
home anymore and they also sell their personal belongings for money.
• Our society are also impacted largely by unemployment because the crime rate
increases, people become very frustrated with their living circumstances and
then it can lead to violence. Some people steal to get food on the table.
• The economy of the country is also affected because it leads to a major loss of
skills and people’s skills are not used.
• Unemployment has a negative effect on general confidence, mutual respect,
acceptance, and peace. People are constantly thinking about why they are
unemployed, and it leads to a lack of confidence because they feel like they are
not good enough to get a job. It also has a big impact on the well-being of their
families.
• Unemployment has a negative effect on a person’s view on achieving success in
the market economy. These people think that society cannot solve the
unemployment problem and it keeps getting bigger and bigger especially with the
impact of Covid 19 on businesses.
• In the macro environment of the country’s economy the production of goods and
services cannot be achieved in the highest capability. This means that there is a
reduction in the products that are being produced, less goods and services are
available, and less investment is available. This means that people buy less
goods and services this leads to lower spending and lower output of products.
The economy is also not growing.
• In the microeconomic the results of unemployment are very dangerous. It means
that people can work but there are no jobs available for them to work. This
means that they cannot get an income and provide for their families. They have
to ask and other people for basic needs.
• Unemployment leads to a variety of poor health conditions like suicide,
depression, murders, heart attacks, liver related diseases, mental disorders and
crime which causes people to end up in jail.
• Unemployment can shorten a person’s life by 5 years which is also associated
with a lot of stress issues.
• Being unemployed causes people to struggle to find new jobs in the future
because their potential skills was not used and maintained which means that
they can lose the abilities to do the job properly.
2|Page
Student number: September / October 2021 Examinations
OTE2601 15 SEPTEMBER
EXAMINATION ANSWERS
written by
Liz
The study-notes marketplace
Buy and sell all your summaries, notes, theses, essays, papers, cases, manuals,
researches, and
many more...
www.stuvia.co.za
1|Page
, Module: OTE2601 Economic and Management Sciences
Student number: September / October 2021 Examinations
Question 1
1.1
• When people lose their jobs and get unemployed, their self-respect and human
dignity are affected, and they must reduce their living standards. Many people
must sell their homes and move in with family because they cannot afford a
home anymore and they also sell their personal belongings for money.
• Our society are also impacted largely by unemployment because the crime rate
increases, people become very frustrated with their living circumstances and
then it can lead to violence. Some people steal to get food on the table.
• The economy of the country is also affected because it leads to a major loss of
skills and people’s skills are not used.
• Unemployment has a negative effect on general confidence, mutual respect,
acceptance, and peace. People are constantly thinking about why they are
unemployed, and it leads to a lack of confidence because they feel like they are
not good enough to get a job. It also has a big impact on the well-being of their
families.
• Unemployment has a negative effect on a person’s view on achieving success in
the market economy. These people think that society cannot solve the
unemployment problem and it keeps getting bigger and bigger especially with the
impact of Covid 19 on businesses.
• In the macro environment of the country’s economy the production of goods and
services cannot be achieved in the highest capability. This means that there is a
reduction in the products that are being produced, less goods and services are
available, and less investment is available. This means that people buy less
goods and services this leads to lower spending and lower output of products.
The economy is also not growing.
• In the microeconomic the results of unemployment are very dangerous. It means
that people can work but there are no jobs available for them to work. This
means that they cannot get an income and provide for their families. They have
to ask and other people for basic needs.
• Unemployment leads to a variety of poor health conditions like suicide,
depression, murders, heart attacks, liver related diseases, mental disorders and
crime which causes people to end up in jail.
• Unemployment can shorten a person’s life by 5 years which is also associated
with a lot of stress issues.
• Being unemployed causes people to struggle to find new jobs in the future
because their potential skills was not used and maintained which means that
they can lose the abilities to do the job properly.
2|Page
