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Q: In which type of unemployment a person contributes less than his capacity?
  • A. Obstructive unemployment
  • B. Cyclical unemployment
  • C. Compulsory unemployment
  • D. Disguished unemployment
Correct Answer: Option D - In Disguised unemployment a person contributes less than his capacity. Disguised unemployment also known as Hidden unemployment, refers to a situation where labour that is employed in a job is not actually utilised for the production of goods and services. Such employment does not contribute to the output of an economy.
D. In Disguised unemployment a person contributes less than his capacity. Disguised unemployment also known as Hidden unemployment, refers to a situation where labour that is employed in a job is not actually utilised for the production of goods and services. Such employment does not contribute to the output of an economy.

Explanations:

In Disguised unemployment a person contributes less than his capacity. Disguised unemployment also known as Hidden unemployment, refers to a situation where labour that is employed in a job is not actually utilised for the production of goods and services. Such employment does not contribute to the output of an economy.