Cyclical unemployment arises from fluctuations over the business cycle.

Name: Cyclical unemployment arises from fluctuations over the business cycle.
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Cyclical unemployment results from the ups and downs of the economy over the business cycle. During recessions, firms may lay off workers, causing unemployment to increase. As the economy expands, firms may hire more workers, leading to lower levels of unemployment. This cyclic pattern of unemployment is inherent in the business cycle.

Cyclical Unemployment Arises from Fluctuations Over the Business Cycle