Which one of the following government policies would most likely be used to reduce structural unemployment?

Question

Quizplus · Accepted Answer

Job training and retraining programs would be the most effective government policy to reduce structural unemployment. This policy helps workers develop the skills needed to fill in-demand jobs, thereby reducing the mismatch between available jobs and worker skills. Job matching programs might also be helpful, but may not address the underlying skills gap that creates structural unemployment. Expansionary fiscal and monetary policies, which increase government spending or lower interest rates, would be more likely to affect cyclical unemployment, which is caused by fluctuations in aggregate demand.

Which One of the Following Government Policies Would Most Likely