What are the two types of unemployment that are consistent with a dynamic,growing economy?
A) cyclical and structural
B) real and nominal
C) frictional and cyclical
D) frictional and structural
E) natural and cyclical

Question

Quizplus · Accepted Answer

Frictional unemployment occurs when workers are in between jobs or transitioning from one job to another, while structural unemployment occurs when there is a mismatch between the skills workers have and the skills employers are looking for. These types of unemployment are consistent with a dynamic, growing economy as workers are constantly seeking better opportunities and industries are evolving, leading to changes in job demands and skills needed.

What Are the Two Types of Unemployment That Are Consistent