A recovery will lead to a decrease in ________ unemployment.

Question

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Cyclical unemployment refers to job loss due to a downturn in the business cycle. A recovery in the economy would lead to a decrease in cyclical unemployment. Transitional unemployment refers to job loss due to changes in the economy, such as technological advancements or changes in consumer preferences, and would not necessarily decrease with a recovery. Structural unemployment refers to job loss due to a mismatch between the skills possessed by workers and the skills demanded by employers and would also not necessarily decrease with a recovery. Frictional unemployment refers to the time it takes for workers to find a new job and is not directly related to the economy's overall health.

A Recovery Will Lead to a Decrease in ________ Unemployment