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Unemployment resulting from industrial reorganization, typically due to technological change, rather than fluctuations in supply or demand is called 
  • a)
    Structural unemployment 
  • b)
    Frictional unemployment 
  • c)
    Seasonal unemployment 
  • d)
    Cyclical unemployment 
Correct answer is option 'A'. Can you explain this answer?
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Unemployment resulting from industrial reorganization, typically due t...
​Unemployment resulting from industrial reorganization, typically due to technological change, rather than fluctuations in supply or demand is called Structural unemployment. 
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Unemployment resulting from industrial reorganization, typically due t...


Structural Unemployment:
Structural unemployment occurs when individuals lose their jobs due to changes in the structure of the economy, such as technological advancements or shifts in consumer preferences. Here's a detailed explanation:

Causes:
- Technological change: Automation and advancements in technology can lead to the redundancy of certain job roles, resulting in structural unemployment.
- Globalization: Outsourcing of jobs to other countries can also contribute to structural unemployment as companies seek cheaper labor costs.
- Industry decline: When certain industries become obsolete or decline, workers in those sectors may face structural unemployment.

Characteristics:
- Long-term: Structural unemployment tends to be long-lasting as it requires workers to acquire new skills or transition to different industries.
- Skills mismatch: Individuals who are structurally unemployed may lack the necessary skills or qualifications for the available job opportunities.
- Regional disparities: Structural unemployment can vary by region, with some areas experiencing higher levels of job displacement due to economic restructuring.

Impact:
- Economic inequality: Structural unemployment can exacerbate income inequality as displaced workers struggle to find new employment.
- Social issues: Prolonged unemployment can lead to social issues such as poverty, homelessness, and mental health problems.
- Policy implications: Governments may need to implement retraining programs, education initiatives, or job creation policies to address structural unemployment.

In conclusion, structural unemployment is a significant challenge that requires proactive measures to help affected individuals adapt to the changing economic landscape.
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Unemployment resulting from industrial reorganization, typically due to technological change, rather than fluctuations in supply or demand is calleda)Structural unemploymentb)Frictional unemploymentc)Seasonal unemploymentd)Cyclical unemploymentCorrect answer is option 'A'. Can you explain this answer?
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