Question

List the four types of unemployment(Seasonal, Cyclical, Fractional, Structural). Under each one give a brief example, from your work-life, or the work life of someone you know, of experiencing that particular type of unemployment. Make sure that your explanation is detailed enough so it is clear to the reader which type of unemployment you were experiencing.

Answer 1

Seasonal unemployment includes the people who were actually unemployed in certain times of a year. For instance, farming.

Cyclical unemployment is an unemployment which is caused by the regular ups and downs in the cyclical trends of the business cycle or industry. For example jobs lost during Great Depression.

Crucial unemployment exists when a person move from one job to another. For instance, quitting the job of technician in order to become a writer causes frictional unemployment in technician.

Structural unemployment refers to the mismatch of the skills of the worker and jobs available. Example of people who do Mechanical engineering and do software jobs.