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Question : Which of the following is a measure to address structural unemployment?

Option 1: Promoting labor-intensive industries

Option 2: Providing unemployment benefits

Option 3: Implementing minimum wage laws

Option 4: Enhancing job security


Team Careers360 12th Jan, 2024
Answer (1)
Team Careers360 21st Jan, 2024

Correct Answer: Promoting labor-intensive industries


Solution : The correct answer is (a) Promoting labor-intensive industries

Promoting labor-intensive industries is a measure that can help address structural unemployment. Structural unemployment refers to unemployment caused by changes in the structure of industries, such as technological advancements or shifts in consumer demand. When certain industries decline or become less relevant, workers may face challenges finding employment due to a lack of relevant skills or a mismatch between their skills and the available job opportunities.

By promoting labor-intensive industries, which are industries that require a significant amount of labor relative to capital, governments can create more job opportunities for workers. This can help absorb the unemployed or underemployed workers affected by structural changes in other industries. Promoting labor-intensive industries can involve various strategies, such as providing incentives to businesses in those sectors, offering training programs to enhance the skills needed for those industries, and implementing policies that support their growth and competitiveness.

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