Structural unemployment results when wages are, for some reason, set above the level that brings supply and demand into equilibrium.

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Structural unemployment occurs when there is a mismatch between the skills that workers offer and the skills demanded by employers. This can be exacerbated by wages being set above equilibrium, as it discourages hiring and can be a result of various factors, including minimum wage laws, labor union activity, and government policies, rather than just the natural interplay of supply and demand.

Structural Unemployment Results When Wages Are, for Some Reason, Set