(a) Wastage of manpower resource: In case of unemployment, manpower who is an asset for an economy turns into liability because utilisation of manpower becomes nil.
(b) Economic overload: Unemployment tends to increase economic overload because dependence of unemployed on the working population increases. So the quality of life is adversely affected.
(c) Unemployment leads to social waste: Inability of educated people who are willing to work to find gainful employment implies a great social waste. Increase in unemployment in an indicator of a depressed economy.

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