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If Susan builds cars and loses her job because a robot takes her place on the factory line, what type of unemployment is she experiencing?

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Final answer:

Susan is experiencing structural unemployment due to being replaced by a robot. This type of unemployment is caused by shifts in industry needs or technology changes, and can have significant impacts on individual's life including mental and physical health, and family relationships.

Step-by-step explanation:

If Susan loses her job because a robot takes her place on the factory line, she is experiencing structural unemployment. Structural unemployment occurs when there is a significant technological change, such as automation, which displaces workers whose skills are no longer in demand due to the structural shifts in the economy. It is a result of a societal level mismatch between people seeking jobs and the available jobs, often due to shifts in industry needs or locations.

For example, factory workers' skills are industry-specific and not easily transferable to other industries without additional training. This can leave workers like Susan with few options: accepting lower-paying jobs with limited benefits, enrolling for professional retraining, or remaining unemployed. With retraining being a difficult path, workers may endure extended periods of joblessness. Such unemployment can have severe impacts on an individual’s financial security and self-worth, leading to a host of mental and physical health challenges, along with straining family relationships. Therefore, structural unemployment not only affects the unemployed individual but has wider social implications as well.

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