Which of the following offers an example of structural unemployment?
A) The rise in unemployment for stable workers after the development of gasoline-powered automobiles and the resulting long-term decline in horse-and- buggy transportation.
B) The rise in unemployment among farm workers after harvest.
C) The unemployment associated with workers changing jobs.
D) The increase in unemployment during recessions.

Question

Quizplus · Accepted Answer

Structural unemployment refers to a mismatch between the skills or location of workers and the available jobs, often due to changes in the economy. The example given in option A describes how the development of gasoline-powered automobiles caused a decline in demand for horse-and-buggy transportation and resulted in unemployment for workers in that industry who lacked the skills needed for the new jobs in the automotive industry. This is a classic example of structural unemployment. Options B, C, and D do not fit the definition of structural unemployment.

Which of the Following Offers an Example of Structural Unemployment