Question

When a business company changes its business over a long period of time then which type of unemployment occurs generally?

A Structural unemployment Correct Answer Incorrect Answer
B Frictional unemployment Correct Answer Incorrect Answer
C Cyclical unemployment Correct Answer Incorrect Answer
D Institutional unemployment Correct Answer Incorrect Answer
E None of these Correct Answer Incorrect Answer

Solution

Cyclical unemployment is a type of unemployment which is related to the cyclical trends in the industry or the business cycle.  The changes in the business cycle of the firm leads to cyclical unemployment.

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