When the economy is in a recession, many companies must lay off workers, causing which type of unemployment?
A) cultural
B) cyclical
C) frictional
D) structural

Question

Quizplus · Accepted Answer

Cyclical unemployment is caused by changes in the business cycle, including recessions and economic downturns. During these times, companies may lay off workers due to decreased demand for their products or services, causing cyclical unemployment.

When the Economy Is in a Recession, Many Companies Must