Which of the following situations would be considered cyclical unemployment? Choose one or more: A. A college instructor's contract is not renewed because more people are taking online classes and the college does not need as many classroom instructors. B. A worker on the assembly line at Ford is laid off due to a drop in car sales brought on by a weak economy. C. A friend wins the lottery and quits working. He says he will never work again. D. A friend is taking a trip around the world while she waits for another job offer. She has been offered six jobs but has not accepted any of them. E. A recent college graduate cannot find a job anywhere, despite excellent qualifications. The news media report that there are not enough jobs to go around in the economy. F. A typewriter repair shop closes, citing lack of business. The owner is quoted as saying, "We haven't had a customer in weeks. It has something to do with people using computers."

Question

Callie Palmer

Business

11 November, 12:03

Which of the following situations would be considered cyclical unemployment? Choose one or more: A. A college instructor's contract is not renewed because more people are taking online classes and the college does not need as many classroom instructors. B. A worker on the assembly line at Ford is laid off due to a drop in car sales brought on by a weak economy. C. A friend wins the lottery and quits working. He says he will never work again. D. A friend is taking a trip around the world while she waits for another job offer. She has been offered six jobs but has not accepted any of them. E. A recent college graduate cannot find a job anywhere, despite excellent qualifications. The news media report that there are not enough jobs to go around in the economy. F. A typewriter repair shop closes, citing lack of business. The owner is quoted as saying, "We haven't had a customer in weeks. It has something to do with people using computers."

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Answers (1)

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Jace Cannon · Answer 1

The correct answers are: B. A worker on the assembly line at Ford is laid off due to a drop in car sales brought on by a weak economy.

E. A recent college graduate cannot find a job anywhere, despite excellent qualifications. The news media report that there are not enough jobs to go around in the economy. esemloe

Explanation:

Cyclic unemployment is unemployment that is caused by fluctuations in the economic activity of a country.

Cyclical unemployment depends on the economic cycle that a country's economy is going through at a given time. In stages of recession or crisis, cyclical unemployment increases while in phases of expansion it decreases.

In economic terms, it is said that cyclical unemployment is a fluctuation in the unemployment rate with respect to its natural rate, that is, the unemployment rate that cannot be reduced and is considered normal in an economy.