Final answer:
Frictional unemployment is higher when the pace of technological advance quickens due to job turnover and workers searching for new opportunities.
Step-by-step explanation:
The pace of technological advance can impact frictional and structural unemployment. Frictional unemployment is higher when the pace of technological advance quickens because new technologies and industries are created, leading to job turnover as workers switch jobs or industries. This results in higher frictional unemployment as workers take time to search for new job opportunities and match their skills with the changing labor market.
On the other hand, structural unemployment is higher when the pace of technological advance quickens because it can lead to job displacement and the obsolescence of certain skills, resulting in workers lacking the necessary skills for available jobs.
When the unemployment rate is low, frictional unemployment accounts for a larger share of total unemployment. Frictional unemployment occurs when individuals are temporarily between jobs, and they are actively seeking employment. When the unemployment rate is low, it indicates a tight labor market, meaning there are fewer job seekers compared to available jobs. In such a scenario, the proportion of individuals experiencing frictional unemployment is relatively higher compared to other types of unemployment such as structural or cyclical.