Unemployment In West Virginia Essay

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Coal used to be one of the largest industries in the United States and was centered in Appalachia and West Virginia. As the country has stopped relying so heavily on coal, the unemployment, those of working age who are not employed but looking for a job, in West Virginia has increased greatly. The economy of West Virginia was so reliant on the success of the coal industry, that coal’s decline negatively impacted the state in many ways.
Currently, West Virginia has the lowest labor participation rate in the United States, due to the movement away from coal. This is a form of structural unemployment, unemployment caused by a mismatch between the skills and education of the job seekers and those necessary for the job opening. The former coal …show more content…
As the country’s reliance on coal declines, the number of available jobs will continue to decrease. In 1980 there were 228,569 coal jobs nationwide, by 2016 this number had dropped to 53,420. This continual increase in unemployment in West Virginia could be detrimental for the state and the country. Negative social effects are already prevalent, as West Virginia currently has a one of the highest poverty rates in the country, high rates of opioid use, and a high opioid overdose death rate. Not only does this joblessness impact the state of West Virginia, but the Federal Government as well. This mass unemployment means fewer goods are being produced, which will decrease the United States’ output, along with the real GDP, potentially decreasing the rate of economic growth, the percent change in real GDP over a period of time. The Federal Government is losing tax revenue, but is spending more on unemployment benefits, meaning there is less money to spend on other government provided services. This could lead to a decrease in quantity and quality of government provided services, such as public transportation or social security, which would negatively impact individuals across the
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