Question

The Mankiw text covers several types of unemployment, including frictional unemployment (the time lag for workers to find a job to fit their skills), structural unemployment (when the number of workers exceeds the number of jobs), and cyclical unemployment (when unemployment deviates from the natural rate of unemployment).

To complete the Discussion activity, write a post that answers the following questions:

• One type of unemployment the text does not cover is seasonal unemployment. Research seasonal unemployment and write a discussion post that answers the following questions:
  • What is seasonal unemployment?
  • Name two jobs that you think would be affected by seasonal unemployment. Explain why they would be affected.
  • How can seasonal unemployment be alleviated? Should it be alleviated? Why or why not?
• Post your response to the discussion board.
• Cite all sources used.

Answer 1

Seasonal Unemployment occurs when there is fluctuations in the demand for workers due to change in seasonal demand i.e. seasonal unemployment occurs when workers cannot find employment in the market because the industries they work in doesn't need them the whole year. Hence, seasonal unemployment leads to employment only in a specific time of the year.

The two jobs I think would be affected by seasonal unemployment is working as a labourer in the agricultural industry and working as a labourer in a factory where only clothes for the winter season is manufactured.

In an agricultural industry, when the time for harvesting comes more workers are demanded than during other times, so workers who would be employed during the peak season of the agricultural industry i.e. during harvesting might not be employed other times of the year.

In a factory where only clothes for the winter season is manufactured would demand workers only during or just before the winter season, whereas in other times of the year such as in the summer season there would be no demand for those same workers.

Yes, I believe seasonal unemployment should be alleviated because the workers who are only seasonally employed face economic hardship during the period when they are left unemployed. It can be alleviated by development of the whole economy specially those industries which face seasonal unemployment. Those industries can be funded more by the government so that they can have infrastructure to invest more and diversify their activities and support employment the whole year. Also, the workers who are affected specially can be given training to diversify their skills so that even if one industry doesn't need them, they can work for other industry which would demand workers in that time of the year.