(i)Explain five types of unemployment in an economy.(ii)Explain five factors that may limit adoption of modern technology in business operation.

      

(i)Explain five types of unemployment in an economy.
(ii)Explain five factors that may limit adoption of modern technology in business operation.

  

Answers


Seline
(i)Frictional unemployment:people lose jobs and go on looking for new ones.
Seasonal unemployment: Caused NY seasonal variations that is peak(high labour demand) off-peak (decline in labour demand).
Structural unemployment: Occur when demand for labour declines due to changes in production methods/decreases in the supply of goods.
Cyclical unemployment: Occurs repeatedly at similar times that is cycles of economic activities that alternate from boom to recession.
Disguised unemployment: Occurs when the number of people unemployed exceeds those that are required.
Involuntary unemployment: Occurs when people are actively looking for jobs at the existing wage rate but not able to get them.
Real-wage unemployment: Occurs when the real wages rate is above the one needed to employ all workers.

(ii)Insufficient capital-High cost of acquiring and maintaining new technology.
Some technology is changing very fast requiring continuous update which is expensive.
Adopting new technology may lead to lay-offs and increase in unemployment.
It increases cost of goods in the short-run increasing prices of goods thus discouraging potential customers.
Some technology have side effects for instance computers affects eye sight.
Requiring hiring of new Staff or retaining is expensive.
Break down of some machines may lead to losses or interruption of business operations.
Some technology may lead to environmental degradation for example disposal of waste which calls for measures which are expensive.
Belan answered the question on March 1, 2019 at 13:04


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