What are the types of unemployment?

      

Give the types of unemployment.

  

Answers


Maurice
1. Open Involuntary Unemployment
This is where people who are not working and are able to work at the existing wage rate cannot get jobs.

2. Open Voluntary Unemployment
-Is where people are able to get jobs at existing wage rate but prefer not to work.

3. Natural rate of unemployment
- This is the level of unemployment that exists when the economy is at full employment, producing its potential output.

4. Frictional Unemployment
- This is caused by the time lag involved in redeployment of labor. This kind of unemployment is caused by mobility problems in the labor market, which result in friction in the labor market. This friction is either due to communication problems or mismatch between job opportunities and job seekers.

5. Seasonal Unemployment
- This arises due to the seasonal nature of some productive activities e.g. production in the agricultural sector.

6. Structural Unemployment
- Results either from change in demand occasioned by change in consumer tastes and preferences or from technological change.

7. Cyclical Unemployment
- Is caused by business cycles or swings in the economy e.g. depression and boom

8. Under-employment
- It occurs when people are working less than they would like to work. Or when people are in jobs that totally underutilize their skills and competence.

9. Disguised Unemployment
- Individuals do not want to do certain jobs because of their qualifications

10. The unemployment of Prematurely Retired
- This occurs when people are retrenched before they attain retirement age.
maurice.mutuku answered the question on July 6, 2017 at 06:31


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