Which type of unemployment is likely to be higher when real GDP growth is lower?

Question

Quizplus · Accepted Answer

Cyclical unemployment is directly related to fluctuations in the business cycle and occurs when there is a decline in real GDP. As real GDP growth slows, businesses may lay off workers or have fewer job openings, resulting in higher levels of cyclical unemployment. Structural and frictional unemployment are not necessarily related to changes in real GDP growth, and natural unemployment refers to the combination of all types of unemployment that would exist in a healthy, stable economy.

Which Type of Unemployment Is Likely to Be Higher When