The effects of unemployment are far-reaching.  They span further than merely not having enough money in one's pocket.  There are psychological and economic repercussions that can affect an entire community, state, and even country.
The longer a person is unemployed, the more difficult it can become for them to make it out of the unemployment cycle. This is because, for many employers, the longer a person is out of work, the less appealing they are. Katherine Newman, a dean at Johns Hopkins University, shared with Marketplace.org that "You look like damaged goods when you go too long without being able to get your foot in the door with a career."

Future Employment Effects

When people are unemployed in large numbers, it hurts the rest of the economy, creating a recurring problem. When people have less money to spend because of unemployment, other companies suffer from less consumer demand. Then, when companies suffer because of lost business, they might in turn be forced to make layoffs of their own, making the unemployment rate rise and overall spending drop even more. The cyclical effect of unemployment is the reason for government-issued economic stimulus packages. Logic dictates that when people have more money, they spend it, thereby stimulating the economy and fueling job growth.

Economic Effects 

The effects of unemployment are not always so apparent.  The mental health of those that are unemployed for longer periods of time can also be compromised.   While unemployment does not have much of an initial affect on someone's mental well-being, after a few months, it may begin to take its toll.  People experiencing chronic unemployment might become anxious or depressed and have trouble sleeping.  Prolonged unemployment has a negative overall effect on a person's sense of self-worth.  This is damage that might remain in place even after the person is once again employed, according to a webpage on Washington and Lee University's website.

Psychological Effects 

Effects on Community

Those that are employed are not immune to the effects of unemployment.   When people are unemployed, they will likely have difficulty paying their mortgage, which could result in foreclosures.  Foreclosed homes, neglected properties, and vacant houses often lower the property value of homes that remain occupied.

Here is a list of less obvious effects of unemployment.

Health diseases: The overall tension of unemployment can dramatically increase the general health issues of individuals.

Tension at home: Quarrels and arguments at home front which may lead to tension and increased numbers of divorces etc.

Political issues: Loss of trust in administration and the government which may lead to political instability

Tension over taxes rise: Unemployment also brings up discontent and frustration among tax-paying citizens.  In order to meet the demands of the unemployment fund the government many a times may have to increase the taxes thus giving way to restlessness amongst the tax paying citizens.

Insecurity amongst employees: The prevailing unemployment and the plight of the unemployed people and their families may create fear and insecurity even in the currently employed people.

Crime and violence: Increase in the rate of crime.

Suicide cases: Increase in the rate of suicide attempts and actual suicides as well.

Social outing: Unemployment may bring a decrease in social outings and interactions with other people, including friends.

Stigma: Unemployment brings with more than just ‘no work’. It also brings with it the disgrace that the person has to bear. Nobody likes to be termed as unemployed.

Lower Standard of leaving: In times of unemployment the competition for jobs and the negotiation power of the individual decreases and thus also the living standard of people with the salaries packages and income reduced.

Loss of skills’ usage: The unemployed is not able to put his/her skills to use. And in a situation where it goes on for too long the person may have to lose some of his/her skills.

What the statistics above do not show is that one major reason many Americans, even the college-educated, are unemployed is because many times, they apply for and/or work on jobs that are not suitable for them. Either they are turned down for the jobs that they are applying for or they are fired from the jobs that they already have. It's a fact that if one is truly good at what he or she does, they become indispensable and invaluable to the company that hired them. This can only occur when one is in a place where he or she can fully exercise his or her God-given gifts. That is why what we offer at FOFMI D.O.S.E is so important. Once you understand who God made you and the specific gifts that He's endowed you with, you'll come to realize exactly where should be and what you should be doing once you get there.