Which type of unemployment would be affected with the follow

Which type of unemployment would be affected with the following changes? Would it go up or down?a. increased unemployment benefits b. heavy snowfall in Minnesota c. online job search becomes more effective d. a large, permanent decrease in the demand for coal e. more people have been retrained to develop new skills f. there is a sharp fall in demand for goods and services in the economy

Solution

a.

Frictional unemployment would be increases. Frictional unemployment refers to the time period between jobs when a employee is searching for, job or transitioning to another job.

b.

Seasonal unemployment would be increases. Seasonal unemployment refers to a type of work which are limited and to be performed during a particular period of a year based on deadlines, climate.

Frictional unemployment will be decreases.

D.

Structural unemployment will be increases. Structural unemployment refers when there is a mis-match arises between the jobs vacant and the skill levels of the unemployed.

e.

Structural unemployment will be decreases.

f.

Cyclical unemployment will be increases. Cyclical unemployment considers that situation when workers lose their jobs when there are downturns in the business cycle.