A teenager without a high school diploma is unable to find work because all of the available jobs require a certain minimum reading level.Which of the following best characterizes the teenager's circumstances?
A) Frictionally unemployed
B) Structurally unemployed
C) Cyclical unemployed
D) Seasonally unemployed

Question

Quizplus · Accepted Answer

The teenager's situation is an example of structural unemployment, which occurs when there is a mismatch between the skills of the available workforce and the qualifications required by available jobs. In this case, the teenager lacks the minimum educational qualifications required for available jobs, and so is structurally unemployed. Frictional unemployment refers to the natural turnover of jobs in a thriving economy, while cyclical unemployment is caused by changes in the business cycle. Seasonal unemployment is caused by fluctuations in demand for labor due to seasonal changes.

A Teenager Without a High School Diploma Is Unable to Find