Sectoral shifts in the economy:

Question

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When there are sectoral shifts in the economy, it means that some industries are growing while others are shrinking. This can lead to workers who were previously employed in the declining industries losing their jobs. However, it also means that there are new job opportunities in the growing industries, so workers may need to search for new jobs. This temporary unemployment is a normal part of a dynamic economy and should not be cause for alarm. Additionally, as the economy adjusts to the sectoral shifts, it can lead to increased productivity as resources are reallocated to more efficient uses.

Sectoral Shifts in the Economy