What Are the Long-Term Implications of Cyclical Unemployment?
Prolonged periods of cyclical unemployment can have several long-term implications. High unemployment rates can lead to a loss of skills and experience among workers, making it harder for them to find employment once the economy recovers. Additionally, businesses may suffer from reduced productivity and innovation due to a lack of skilled labor. Furthermore, high unemployment can lead to social issues such as increased poverty and reduced quality of life for affected individuals.