Forty-five percent of the labor force in Armenia is involved in the agricultural sector, but the economic growth in the nation comes from industry and tourism.What type of unemployment would such a mismatch of ability and job requirements cause?

Question

Quizplus · Accepted Answer

Structural unemployment occurs when there is a mismatch between the skills of the labor force and the needs of the economy. In this case, the high percentage of the labor force in agriculture, while economic growth is driven by industry and tourism, indicates a structural mismatch.

Forty-Five Percent of the Labor Force in Armenia Is Involved