If there is need for four labourers and seven are working, then what kind of unemployment are the extra three labourers suffering from?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. Disguised unemployment
A scenario known as "disguised unemployment" occurs when more workers than necessary are employed.
- The extra labour force is categorised as "disguised unemployment."
- For instance, two additional workers are considered to be in a position of disguised unemployment if a piece of land only needs three people to work on it but five people work on it instead.
- In India, rural areas are the most common places to find hidden unemployment.
- Three people are seasonally unemployed if a pitch needs four workers and there are seven employed.
- Individuals who are not dependent on agriculture typically experience this type of unemployment.