1. Types of Unemployment—part III continued
frictional, structural, cyclical or seasonal

2. Summary
FRICTIONAL: consists of those searching for jobs or waiting to take jobs soon (not bad, there is mobility as people change or seek jobs)
STRUCTURAL: due to changes in the structure of demand for labor (skills become obsolete—a new trade needs to be learned or location change)
CYCLICAL: caused by the recessionary phase of the business cycle (agg. spending)
SEASONAL: caused by being able to work only during certain times of the year

3. Frictional, Structural, Cyclical or Seasonal?
1. You have just graduated from college and are looking for work.
2. Military cutbacks have led to displacement of workers in military-related industries.
3. A ski-coach during June, July, August and September.
4. A computer programmer is laid off due to a recession.

4. Frictional, Structural, Cyclical or Seasonal?
5. Advances in technology make assembly line worker’s jobs obsolete.
6. A skilled woodworker becomes unemployed because a machine can do the job faster.
7. Slumping sales lead to a cashier being laid off
8. An editor leaves her job in New York to find work in San Francisco.

5. Check your answers
1. You have just graduated from college and are looking for work.
FRICTIONAL
2. Military cutbacks have led to displacement of workers in military-related industries.
STRUCTURAL
3. A ski-coach during June, July, August and September.
SEASONAL

6. 4. A computer programmer is laid off due to a recession.
CYCLICAL
5. Advances in technology make assembly line worker’s jobs obsolete.
STRUCTURAL
6. A skilled woodworker becomes unemployed because a machine can do the job faster.

7. 7. Slumping sales lead to a cashier being laid off.
CYCLICAL
8. An editor leaves her job in New York to find work in San Francisco.
FRICTIONAL