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Identify what type of unemployment each of the individuals faces.
1. Sarah is a recent economics graduate who is entering a difficult labor market, due to a severe recession. She is continuing to look for work but is having a hard time getting interviews. Sarah is facing:________
2. Hamid has just graduated as a lawyer from an esteemed law school. He is confident of getting a job and has already refused a few lower‑paying jobs.Hamid is facing:___________.

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elenacorsan93

Answer:

  1. Cyclical Unemployment
  2. Frictional Unemployment

Explanation:

  • Cyclical unemployment usually occurs during slow economic growth, it raises during recession when the demand for goods and services cannot support full employment, Sarah is facing this kind of unemployment because she's not getting interviews at all.
  • Frictional Unemployment happens when the economy is growing, Hamid is in this kind of unemployment because he has had offers previously meaning there are jobs out there.

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