ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Cyclical unemployment-during economic recession there is a slowdown of economic activities and a fall in the demand, factory owners then remove some workers to cut down their cost. Such employment caused due to trade cycles are called cyclical unemployment.

Detailed explanation-2: -Cyclical unemployment is the impact of economic recession or expansion on the total unemployment rate. Cyclical unemployment generally rises during recessions and falls during economic expansions and is a major focus of economic policy.

Detailed explanation-3: -Cyclical unemployment is the unemployment associated with the ups and downs of the business cycle. During recessions, cyclical unemployment increases and drives up the unemployment rate. During expansions, cyclical unemployment decreases and drives down the unemployment rate.

Detailed explanation-4: -Cyclical unemployment is a type of unemployment where labor forces are reduced as a result of business cycles or fluctuations in the economy. If you’re cyclically unemployed, it means that your employer has laid you off because your company is trying to save money during a period of slow business.

Detailed explanation-5: -Cyclical unemployment is the main cause of high unemployment rates. It’s caused by a downturn in the business cycle. It’s part of the natural rise and fall of economic growth that occurs over time. Cyclical unemployment is temporary and depends on the length of economic contractions caused by a recession.