Cyclical unemployment is caused by
A)technological change.
B)fluctuations in the business cycle.
C)a dynamic economy in which people want to switch jobs sometimes.
D)predictable shifts in production associated with different seasons.

Question

Quizplus · Accepted Answer

Cyclical unemployment is directly related to the fluctuations in the business cycle. When the economy is in a recession and businesses are laying off workers or there is a decrease in demand for goods and services, cyclical unemployment rises. Conversely, during the expansion period of the business cycle, unemployment decreases as demand for labor increases.

Cyclical Unemployment Is Caused by