Financial Planner

Category - General Principles of Financial Planning

The following are types of unemployment EXCEPT:
  1. seasonal
  2. structural
  3. frictional
  4. dynamic
Explanation
Answer: D - Dynamic is NOT an example of unemployment.
Key Takeaway: Unemployment types include seasonal, structural and frictional unemployment. Seasonal unemployment is usually due to short-term factors such as tourist patterns, weather issues and college students breaking during the summer periods. Frictional unemployment is also of a short-term nature and is experienced by those who re-entering the labor market, finishing their education or are in-between jobs. Structural unemployment is of a more long-term nature and arises out of a mismatch between employers and workers.
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