ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -For example, employees who produce a specialty clothing product that suddenly is no longer a trend might lose their position producing this specific product, causing structural unemployment.

Detailed explanation-2: -Structural unemployment is a direct result of shifts in the economy, including changes in technology or declines in an industry.

Detailed explanation-3: -’Structural unemployment’ is the term economists use to describe unemployment that happens because of a mismatch between the skills workers have, and the jobs that are actually available. Structural unemployment usually happens because of technological change.

Detailed explanation-4: -An example of cyclical unemployment is when construction workers were laid off during the Great Recession following the financial crisis of 2008. With the housing market struggling, construction of new homes fell dramatically, leading to a rise in cyclical unemployment for construction workers.