Transitional unemployment, Managerial Economics

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Transitional unemployment

Transitional unemployment is that situation which prevails due to some temporary reasons. The main reason for this type of unemployment are:

Turnover unemployment: Some individuals leave their present jobs and make efforts to secure better ones and in this way, they remain unemployed for some time.

Casual unemployment: Casual workers are employed for a specific job and when the job is competed, such workers become eventually unemployed. E.g. shipping or building construction workers.

Seasonal unemployment: Some industries, for instance have seasonal demand and their produce is manufactured for a specific period of time (a specific period of the year). The workers of such industries remain unemployed for that time e.g. ice factories may remain closed during winter.

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