A recession causes a decrease in the demand for housing, resulting in substantial layoffs in the construction industry. The people laid off are considered
A) seasonally unemployment.
B) cyclically unemployment.
C) structurally unemployment.
D) frictionally unemployment.

Question

Quizplus · Accepted Answer

The decrease in demand for housing is a result of a cyclical economic event, leading to layoffs in the construction industry. The unemployment of these workers is thus considered cyclical.

A Recession Causes a Decrease in the Demand for Housing