Unemployment Due to Lack of Qualifications | CFA Level 1 Exam Prep

Unemployment Due to Lack of Qualifications

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Question

When individuals are unemployed because they lack the qualifications to fill available jobs, we call this a form of

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Explanation

Structural unemployment implies that changes in the basic characteristics of the economy prevent the "matching up" of available jobs with available workers.

Thus, workers possess skills which are not demanded by employers and employers demand skills that unemployed workers do not have.