Question

__________ unemployment refers to loss of jobs due to a recession or a similar downturn in the economy.a. Frictional b. Structural c. Cyclical d. Seasonal

Answer 1

Cyclical unemployment

Step-by-step explanation:

Cyclical unemployment is unemployment that results when the overall demand for goods and services in an economy cannot support full employment. It occurs during periods of slow economic growth or during periods of economic contraction.

One concrete example of cyclical unemployment is when an automobile worker is laid off during a recession to cut labor costs. During this downturn, people are buying fewer cars or vehicles, so the owner doesn't need as many workers to meet the demand.

Answer 2

The correct answer is letter "C": Cyclical.

Step-by-step explanation:

Cyclical unemployment is the change in job availability due to upswings and downswings in the business cycle. If the economy is robust and booming, cyclical unemployment is at its lowest. When the economy is in a recession, cyclical unemployment is at its highest.