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Q30 (CDS-I/2021) Economy › Growth, Development, Poverty & Employment › Macroeconomic indicators Answer Verified

The mismatch in the regional or occupational pattern of job vacancies and the pattern of worker availability results in

Result
Your answer: —  Â·  Correct: A
Explanation

Structural unemployment is a long-term form of unemployment that arises from fundamental shifts in the economy, leading to a mismatch between the skills or locations of job seekers and the requirements of available vacancies [1]. This mismatch typically manifests in two ways: occupational and regional. Occupational mismatch occurs when workers lack the specific skills required for new jobs, often due to technological changes or industrial decline [1]. Regional mismatch occurs when job vacancies exist in specific geographic areas, but workers are unable or unwilling to relocate to those regions [1]. Unlike cyclical unemployment, which is caused by temporary economic downturns, structural unemployment persists even during periods of economic growth because the labor supply does not align with the labor demand's structural requirements . Disguised unemployment, by contrast, refers to redundant labor with zero marginal productivity, common in the agricultural sector [4].

Sources

  1. [1] Indian Economy, Vivek Singh (7th ed. 2023-24) > Chapter 8: Inclusive growth and issues > Different types of Unemployment: > p. 272
  2. [2] https://www.rba.gov.au/education/resources/explainers/unemployment-its-measurement-and-types.html
  3. [4] Indian Economy, Vivek Singh (7th ed. 2023-24) > Chapter 8: Inclusive growth and issues > Different types of Unemployment: > p. 273
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SIMILAR QUESTIONS

CDS-I · 2023 · Q61 Relevance score: -2.09

The unemployment that occurs due to changes in the technology or in the demand for particular products is called (a) frictional unemployment (b) structural unemployment (c) cyclical unemployment (d) disguised unemployment

CDS-I · 2012 · Q7 Relevance score: -3.17

When the productive capacity of the economic system of a State is inadequate to create sufficient number of jobs, it is called—

IAS · 2013 · Q92 Relevance score: -5.06

Disguised unemployment generally means