Q.Define Full employment.

Full employment means everyone willing and able to work at the going wage rate gets a job; involuntary unemployment is nil, though some frictional/voluntary unemployment remains.

In the theories of employment and income topic of the Tamil Nadu HSC Commerce syllabus, full employment is defined as a situation in which all those who are willing and able to work at the prevailing (existing) wage rate are able to get employment.

Important points:

• Full employment does NOT mean that literally 100% of the population is employed or that unemployment is zero.
• It only means the absence of involuntary unemployment — no one who wants a job at the going wage is left without one.
• A small amount of frictional unemployment (people between jobs) and voluntary unemployment (those unwilling to work at the current wage) can still exist even at full employment. …