Structural unemployment occurs when
A)Workers do not have the skills required to fill the vacant positions in the job market.
B)Firms fail in the normal course of business activity.
C)An industry experiences a seasonal downturn.
D)There is inadequate demand for labor.

Question

Quizplus · Accepted Answer

Structural unemployment occurs when there is a mismatch between the skills that workers have and the skills that are needed for available job vacancies. This type of unemployment is often caused by changes in the economy such as technological advancements or shifts in consumer demand. It is a long-term form of unemployment that can be difficult to resolve through short-term policies such as government stimulus measures.

Structural Unemployment Occurs When