Question

When governments subsidize retraining programs for unemployed workers to learn new skills, they are trying to minimize the effects of which kind of unemployment?

Answer 1

Answer:

Structural unemployment

Explanation:

Structural unemployment is unemployment that is as a result of the mismatch or differences between the skills possessed by workers in the economy and the skills demanded from workers by the employers. It is sometimes called the skills gap. Structural unemployment can also be a result of technological advancement which makes the job skills of some workers old. Structural unemployment requires retraining or migration to other places where the skills will be useful.