Andrew just lost his job as a corkscrew operator since his company has found a machine to perform his work tasks. Andrew did not have the skills needed to operate the machine. Andrew has searched for a new job for 6 months and continues to search. Therefore, Andrew is considered to be
A) frictionally unemployed.
B) cyclically unemployed.
C) structurally unemployed.
D) a discouraged worker.

Question

Quizplus · Accepted Answer

Andrew's situation is an example of structural unemployment, which occurs when there is a mismatch between the skills that workers have and the skills that employers need. In this case, Andrew's job was replaced by a machine, and he is struggling to find a new job that matches his skills and experience. This is different from frictional unemployment, which is a temporary and voluntary type of unemployment that occurs when workers are searching for new jobs, and cyclical unemployment, which is a result of economic downturns and fluctuations in business cycles. Andrew is also not a discouraged worker, as he is actively searching for a new job.

Andrew Just Lost His Job as a Corkscrew Operator Since