Unemployment caused by permanently decreased demand for horse-drawn carriages is an example of
A)cyclical unemployment.
B)old-fashioned unemployment.
C)frictional unemployment.
D)structural unemployment.
E)discouraged unemployment.

Question

Quizplus · Accepted Answer

This type of unemployment is caused by long-term changes in the economy, such as technological advancements, changes in consumer preferences, or globalization. The decreased demand for traditional horse-drawn carriages represents a structural change in the economy, which causes workers to lose their jobs as their skills are no longer in demand.

Unemployment Caused by Permanently Decreased Demand for Horse-Drawn Carriages Is