discussion ee- week2 - Frictional unemployment is the type...

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Frictional unemployment is the type experienced when someone is considered to be “between jobs”. It occurs because of the normal turn over of in the labor market due to the time it takes for a position to be filled either by lack of skilled workers or lack of information about the job being open (so the right worker can apply for the job).   Structural unemployment occurs when there is a change in the structure of the market, and this causes that a set of skills become obsolete. Take for example the market for cassette tapes, or the market for 8-track tapes before that. As the demand for these products practically disappeared so did the demand for workers with the skills to manufacture them. Those workers found themselves structurally unemployed.   Cyclical unemployment refers to the loss of work that corresponds to the natural ups and downs the economy experiences from time to time. These periods of economic recession and economic expansion occur in a cycle hence, cyclical unemployment. During a recession it is normal that the unemployment rate will rise. Those who
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