Consider the following statements
- Disguised Unemployment arises from the mismatch between the jobs available in the market and the skills of the available workers.
- Structural Unemployment arises wherein more people are employed than actually needed.
Select the correct statement.
Explanation:
Both statements are incorrect.
Types of Unemployment
- Disguised Unemployment: It is a phenomenon wherein more people are employed than actually needed. It is primarily traced to the agricultural and unorganized sectors of India.
Structural Unemployment: It is a category of unemployment arising from the mismatch between the jobs available in the market and the skills of the available workers in the market.
- Many people in India do not get jobs due to lack of requisite skills and due to poor education level, it becomes difficult to train them.
Cyclical Unemployment: It is a result of the business cycle, where unemployment rises during recessions and declines with economic growth.
- Cyclical unemployment figures in India are negligible. It is a phenomenon that is mostly found in capitalist economies.
Technological Unemployment: It is the loss of jobs due to changes in technology.
- In 2016, World Bank data predicted that the proportion of jobs threatened by automation in India is 69% year-on-year.
Frictional Unemployment: Frictional Unemployment, also called Search Unemployment, refers to the time lag between the jobs when an individual is searching for a new job or is switching between jobs.
Vulnerable Employment: This means people working informally, without proper job contracts and thus lacking any legal protection.
- These people are deemed ‘unemployed’ since records of their work are never maintained.
- It is one of the main types of unemployment in India.
Hence option 4th is correct.
By: Shubham Tiwari ProfileResourcesReport error