Economics 9708 · AS & A Level · Unemployment

Unemployment — practice question

(a)[8]

Explain the difference between structural unemployment and cyclical unemployment and consider how far structural unemployment is likely to be more damaging to an economy than cyclical unemployment.

(b)[12]

Low unemployment is a macroeconomic policy objective for a government. Assess how far this is most likely to be achieved by supply-side policy.

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: Unemployment: willing and able to work, yet not in work.

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