A cutback in the space program due to a slow economy causes an increase in unemployment among aeronautical engineers. This is an example of
A) cyclical unemployment.
B) frictional unemployment.
C) seasonal unemployment.
D) structural unemployment.

Question

Quizplus · Accepted Answer

Cyclical unemployment occurs when there is a downturn in the economy, leading to reduced demand for goods and services, which in turn causes layoffs and increased unemployment. In this case, the slow economy has led to a cutback in the space program, resulting in unemployment for aeronautical engineers.

A Cutback in the Space Program Due to a Slow