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Question : Which of the following is a form of disguised unemployment?

Option 1: Seasonal unemployment

Option 2: Technological unemployment

Option 3: Underemployment

Option 4: Cyclical unemployment


Team Careers360 24th Jan, 2024
Answer (1)
Team Careers360 25th Jan, 2024

Correct Answer: Underemployment


Solution : The correct answer is (c) Underemployment

Underemployment is a form of disguised unemployment. It occurs when individuals are employed in jobs that do not fully utilize their skills, qualifications, or working hours. Underemployed individuals are often working part-time or in jobs that are below their skill level or desired employment status.

Disguised unemployment refers to a situation where individuals appear to be employed but are not fully utilizing their productive capacity or contributing to the economy in an optimal way. It is called "disguised" because these individuals are counted as employed but are not engaged in meaningful or productive work.

Underemployment, on the other hand, is a type of employment situation where individuals have jobs but are not fully employed according to their skills, qualifications, or desired level of employment. It is often considered a form of hidden or disguised unemployment because it masks the true extent of unutilized labor resources in an economy.

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