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Economics (AS & A Level) · Oct / Nov 2023 · Paper 33 · Question 18

9708Unemployment

A pandemic encourages many workers in developed countries to work from home, leading to a closure of city centre businesses such as coffee shops and retailers. If this way of working continues after the pandemic, what is the most likely result?

  1. AFrictional unemployment will decrease.
  2. BThe geographical mobility of labour will increase.
  3. CStructural unemployment will increase.
  4. DVoluntary unemployment will increase.

As printed in the paper

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Correct answer: C. Structural unemployment will increase.

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