A Level Economics (9708)•9708/12/M/J/23

Explanation
Mismatched solutions for types of unemployment
Steps:
- Define unemployment types: cyclical from economic downturns, frictional from job search transitions, structural from skill/location mismatches.
- Match solutions: cyclical needs demand boost like fiscal stimulus; frictional needs better job info; structural needs skill adaptation like retraining.
- Check each option: A fits cyclical via expansionary policy; B fits frictional by reducing search time; C mismatches structural with frictional solution; D fits structural directly.
- Identify incorrect pair as the one applying frictional fix to structural issue.
Why C is correct:
- Structural unemployment arises from skill mismatches, so advertising vacancies (a frictional solution) fails to address root causes like obsolete skills, per labor economics definitions.
Why the others are wrong:
- A: Raising government spending correctly stimulates demand to reduce cyclical unemployment, following Keynesian fiscal policy.
- B: Increasing advertising reduces frictional unemployment by improving job matching efficiency.
- D: Retraining workers directly resolves structural unemployment by updating skills for new industries.
Final answer: C
Topic: Unemployment
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