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CAIE IGCSE Economics 4.6.3 Causes Types of Unemployment Questions

Practise Cambridge IGCSE Economics by identifying unemployment types, explaining their causes and evaluating duration and labour-market consequences.

Syllabus
2027–2029
Course
Economics 0455

Exam points

  • Identify frictional, structural, cyclical and seasonal unemployment from the worker or economic context.
  • Explain causes of each unemployment type, including recession, skills mismatch, job search and seasonal demand.
  • Evaluate likely duration or consequences of unemployment using labour-market evidence and the stated context.

CAIE IGCSE Economics 4.6.3 Causes Types of Unemployment Questions question 1

[Maximum number: 2]

In 2022, more than a quarter of a million workers, including doctors, left Sri Lanka to work in other countries. This was largely due to economic problems, including an inflation rate of 50% and a concern that unemployment might rise. The Sri Lankan Government increased direct taxation. It also encouraged some public sector workers to work abroad temporarily. People who work abroad often send money home to relatives.

Identify two types of unemployment.

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