The three people described in the following table are categorized as unemployed by the Bureau of Labor Statistics.

Identify each person in the table as structurally, frictionally, or cyclically unemployed.

1. A recent recession has reduced the number of visitors to a local theme park. The park has had to lay off many of its employees, including Caroline.

2. Shen recently lost his job as a dishwasher. Minimum-wage legislation keeps employers from adding more of the low-skill positions for which he qualifies, so he has been unable to find work.

3. Valerie just graduated from college and is looking for a full-time position with an investment banking firm.

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16 February, 12:15

The three people described in the following table are categorized as unemployed by the Bureau of Labor Statistics.

Identify each person in the table as structurally, frictionally, or cyclically unemployed.

1. A recent recession has reduced the number of visitors to a local theme park. The park has had to lay off many of its employees, including Caroline.

2. Shen recently lost his job as a dishwasher. Minimum-wage legislation keeps employers from adding more of the low-skill positions for which he qualifies, so he has been unable to find work.

3. Valerie just graduated from college and is looking for a full-time position with an investment banking firm.

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Wolfgang · Answer 1

A recent recession has reduced the number of visitors to a local theme park. The park has had to lay off many of its employees, including Caroline. - Cyclical unemployment.

Shen recently lost his job as a dishwasher. Minimum-wage legislation keeps employers from adding more of the low-skill positions for which he qualifies, so he has been unable to find work. - Structural unemployment

Valerie just graduated from college and is looking for a full-time position with an investment banking firm. - Frictional unemployment

Explanation:

Unemployment, as per the Organization for Economic Co-activity and Development, is when people over a predetermined age are not in paid business or independent work and are at present accessible for work during the reference time frame.

Cyclical unemployment happens on account of the good and bad times of the economy. Frictional unemployment happens due to the ordinary turnover in the work advertise and the time it takes for laborers to secure new positions. Structural unemployment happens in view of a nonappearance of interest for a specific sort of specialist.