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What is cyclical unemployment?

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Question

What is cyclical unemployment?

Options

  • Unemployment during economic downturns and recessions

  • Joblessness due to technological changes

  • Permanent loss of jobs in one industry

  • Unemployment due to seasonal factors

MCQ
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Solution

Unemployment during economic downturns and recessions

Explanation:

Cyclical unemployment happens when the economy contracts, causing many people to lose jobs temporarily during recessions or downturns.

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