O Levels Economics (2281)•2281/11/M/J/20

Explanation
Structural unemployment matches 2018 table patterns
Steps:
- Review table data for 2018 unemployment rates by industry or region.
- Identify mismatches between worker skills and available jobs, such as declining sectors like manufacturing.
- Rule out short-term or economic cycle factors based on stable GDP.
- Confirm persistent trends aligning with structural definitions.
Why D is correct:
- Structural unemployment arises from skill or location mismatches preventing workers from finding jobs, as evidenced by the table's 2018 industry-specific declines.
Why the others are wrong:
- A. Cyclical ties to business cycle recessions; 2018 table shows steady growth, not downturns.
- B. Frictional involves temporary job searches; table indicates prolonged, not transitional, unemployment.
- C. Seasonal fluctuates with weather or holidays; 2018 data lacks such periodic variations.
Final answer: D
Topic: Employment and unemployment
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