Cyclical unemployment is associated with which of the following?
A)changes to the economy's industrial structure resulting from growth in some industries and decline in others
B)an output level different from the economy's potential output
C)differences between the characteristics of the supply of labour and the demand for labour
D)people entering the labour force typically take some time to find a job
E)people quitting their present jobs to look for other jobs

Question

Quizplus · Accepted Answer

Cyclical unemployment occurs due to fluctuations in the business cycle, resulting in an output level different from the economy's potential output. When there is a decline in economic activity, such as during a recession, firms may reduce their production, leading to job losses and cyclical unemployment.

Cyclical Unemployment Is Associated with Which of the Following