GSEB Unemployment MCQ — Class 12

Open unemployment describes which situation?

Unemployment concerns people available for work who lack employment, not all non-workers.

Underemployment means what?

People may work too few hours or below their usable capacity.

Disguised unemployment is suggested when what happens?

Surplus workers can be removed without reducing current output.

Cyclical unemployment is associated with what?

Weak aggregate activity reduces demand for labour during recessions.

Frictional unemployment commonly arises during what?

Search and matching take time when workers change jobs.

Which can constrain job creation?

Jobs may not expand fast enough to absorb the labour force.

Which education can improve employability?

Work-related training can equip people with skills required by employers.

Which production method uses relatively more machinery than labour?

Capital-intensive methods substitute more capital for some labour tasks.

Which can support local employment?

Small enterprises can create geographically accessible work opportunities.

Why is labour mobility relevant to unemployment?

Mobility can reduce mismatch between where workers live and where jobs exist.

1. Six people work where four can produce the same output. What is illustrated?

1. Open unemployment of all six
2. Full productive use of all six
3. A guaranteed fall in output
4. Disguised unemployment of two workers

2. A graduate waits between leaving one job and joining another. Which type fits?

1. Only a crop-related slowdown
2. Permanent retirement
3. Frictional unemployment
4. Only disguised unemployment

3. A recession causes factories to dismiss workers. Which type is clearest?

1. Only disguised farm employment
2. Cyclical unemployment
3. Only voluntary retirement
4. Only frictional job switching