HC Deb 21 November 1983 vol 49 cc49-50W
Mr. Dubs

asked the Chancellor of the Exchequer if he will estimate the growth in the economy that would be necessary to reduce unemployment by one million.

Mr. Peter Rees

[pursuant to his reply, 17 November 1983, c. 509]: The relationship between output growth and unemployment is complex and uncertain. For instance, the impact of higher output growth on unemployment depends among other factors, on how that output growth is brought about. Unemployment also depends on the level of real wages, which affects the demands for labour at a given level of output, and on this and other factors which influence labour supply. It is therefore not possible to provide a meaningful estimate.