New technology has made most of the jobs workers do at a particular factory obsolete, and they are laid off. Which type of unemployment are they experiencing?
The type of unemployment that the workers are experiencing in this scenario is known as technological unemployment. Technological unemployment occurs when advancements in technology result in the elimination of certain jobs or make them obsolete, leading to unemployment for those workers. In this case, the new technology has made the jobs at the factory obsolete, leading to the workers being laid off.
