Unemployment that rises because the economy is in a recession is called:
ACylindrical
BChemical
CCyclical
DClinical
Answer & Solution
Correct answer: C. Cyclical
1. It follows the business cycle.
2. It disappears when growth returns.
3. That type is cyclical unemployment.
_Source: OpenStax Principles of Macroeconomics 3e, Chapter 8, Unemployment._
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