SSC MTS EXAM

Detailed explanation-1: -Disguised unemployment is a kind of unemployment in which there are people who are visibly employed but are actually unemployed. This situation is also known as ‘hidden unemployment’. In such a situation, more people are engaged in a work than optimally required.

Detailed explanation-2: -Disguised unemployment is unemployment that does not affect aggregate economic output. It occurs when productivity is low and too many workers are filling too few jobs. It can refer to any part of the population that is not employed at full capacity.

Detailed explanation-3: -An example would be a small family farm with ten employees doing the same work. If three or four individuals were to discontinue working, the overall output of the farm would remain unchanged. The three or four individuals can be seen as providing disguised unemployment.

Detailed explanation-4: -Open unemployment is when people cannot find work that meets their basic needs. In contrast, disguised unemployment refers to the situation in which more people are employed than are actually required.