Customer service representatives who have lost their jobs as a result of call centers being outsourced to India are an example of
A) structural unemployment.
B) cyclical unemployment.
C) frictional unemployment.
D) voluntary unemployment.

Question

Quizplus · Accepted Answer

Structural unemployment occurs when workers lose their jobs due to changes in the structure of the economy, such as outsourcing or technological advancements. In this case, the outsourcing of call centers to India has led to job losses for customer service representatives, making it an example of structural unemployment. Cyclical unemployment is caused by fluctuations in the business cycle, frictional unemployment occurs when workers are in the process of transitioning between jobs, and voluntary unemployment occurs when workers choose not to work for various reasons.

Customer Service Representatives Who Have Lost Their Jobs as a Result