Paper 3 · Population and Labour
Retraining workers whose industry has closed down is aimed mainly at reducing
Aseasonal unemployment, which occurs when demand for labour varies with the time of year
Bstructural unemployment, where the skills workers hold no longer match the jobs available
Ccyclical unemployment, which is caused by a general fall in demand right across the economy
Dfrictional unemployment, which lasts only while a worker moves between two jobs
Explanation: When the pattern of industry changes, the jobs that disappear and the jobs that appear call for different skills, and the workers left behind cannot fill the vacancies. Retraining closes that skills gap. Cyclical unemployment needs extra demand, not extra skills.
Derived from ZIMSEC Economics 4050/3 Paper 3, June 2023, Q2