The productive use of resources in the economy is employment. As money expenditure, a budget engages the companies – and in the same fashion the economy as a whole – in productive consumption which accumulates income for further productive use. Employment is the utilisation of already accumulated wealth in the economy by the means of endogenous budget. Full employment, structural unemployment, and frictional unemployment shape the structure of employment as such.
Historical Backdrop
• JOHN MAYNARD KEYNES The General Theory of Employment, Interest, and Money: employment function.
• ARTHUR PIGOU The Classical Stationary State: real balance.
