Frictional Unemployment
Jimmy Left his job at the bagel shop to look for another job
Frictional
Factory worker replaced by a robot is experiencing this type of unemployment
Structural
Elijah loses his job in construction because the demand for new housing market crash
Cyclical Unemployment
Ski Patrol workers at Arizona Snowbowl have to look for another job in the spring
Seasonal Unemployment
What is the goal for the Unemployment rate
4%-6%
Why is Frictional unemployment considered normal in healthy changing
People are always changing jobs or entering the workforce
Joe has been Looking for a job for a month but is turned down because his skills don't match what the employer is looking for
Structural
What is cyclical Unemployment
Economy is at fill employment
What's is Seasonal Unemployment
When industries slow or shut down for the seasons or make seasonal shifts
what's is the goal for inflations rate?
2-3% Increase
True or False- Frictional unemployment is permanent and can't be reduced
False- it can be reduced with better job matching tools
What is structural unemployment
Occurs when the workers skills doesn't match the skill the employers need
What happen to cyclical unemployment when the economy improves
Goes down Because businesses hire more workers
Ture or False- Seasonal unemployment happens because workers skills no longer match available jobs
False- structural unemployment
Who is hurt by inflation
Lenders and low/fixed income
Occurs when people take time to find a job
Why do retraining Programs reduce structural unemployment
Teach workers the new skills
Ture or False- Cyclical unemployment tends to be positive during economic
False- Its Positive during recessions
Ture or False- Seasonal unemployment is always present even in a healthy economy.
Ture
The natural rate of unemployment includes which two types?
Frictional and structural
Explain how frictional unemployment can be a good sign
It shows people have confidence to leave old jobs and look for better ones
Give three Industry where structural unemployment often happens
Manufacturing, mining, agriculture, retail or trade, Textiles, and steel work
name one industry where cyclical unemployment rises quickly during a recession
Retail, construction, manufacturing, travel, sales, automotive, and hospitality
Why is seasonal unemployment not a big concern for the overall economy
Temporary and predictable
Ture or False- The natural rate of unemployment is constant and does not change over time
False