Question

A knitting factory worker who loses her job because the company has relocated the plant to another country is an example of _____.

Answer 1

Answer:

Structural unemployment

Explanation:

Structural unemployment is a type of unemployment which is involuntary. The primary reason behind this type of unemployment is the lack of match between the worker's skill which he intends to offer and the employers' demand for the skill. There lies a form of disparity among the two. One of the major conditions behind the phenomena is the advancement in the technicalities of the process. In the above case, the reason is the relocation of the job. The worker working in the knitting factory becomes structurally unemployed when the factory relocates.

Answer 2

The correct answer is structural unemployment.

Explanation:

A knitting factory worker who loses her job because the company has relocated the plant to another country is an example of structural unemployment, because this type of unemployment is the result from industrial reorganization. In this case, due to the fact that the knitting company had to be relocated in another country.