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6 November, 13:10

Which of the following is an example of structural unemployment? A. A large fire burns down an automotive plant in Detroit, forcing the employees temporarily out of work B. Three sales associates from Target are fired after stealing merchandise from the electronics department C. John quits his job after getting accepted into law school D. Though many companies are hiring in Seattle, Washington., unemployment is high in Tennessee

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  1. 6 November, 15:57
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    D.

    Explanation:

    Structural Unemployment is the form of unemployment which is caused due to the mismatch between the jobs that are available and the skills possessed by the workers. The factors that can lead to further structural unemployment are economical shift, lack of policies after a recession period, etc. This form of unemployment comes under the category of the long-lasting unemployment.

    This mismatch between the availability of jobs and workers can be due to a lack of skills that a company requires in its employee, or the distance between the location of the company and the residence of the employee.

    In the given question example of structural unemployment is option D, because there are jobs available in Seattle but still, the unemployment rate is high in Tennessee.

    So, the correct answer is option D.
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