00:01
So here we're talking unemployment and we have three situations.
00:03
In the first one, we have a layoff due to lower tax revenues.
00:12
So my argument here is that that is a cyclical phenomenon, right? revenues.
00:20
The tax revenues are a cyclical thing.
00:24
And so what we have here is cyclical unemployment.
00:28
Because the unemployment is being caused by business cycle phenomena, right? cyclical unemployment is unemployment that's specifically caused because the economy is doing good or the economy is doing bad.
00:40
Here we have a cyclical reason for the layoffs, so it's cyclical unemployment.
00:45
For two, we have between contracts.
00:50
This is what we call frictional unemployment, right? it is frictional.
00:57
There is, right, it's individual specific, right? the idea of cyclical is that it is because of the entire economy.
01:09
The idea of structural is because of a certain industry or the structure of the economy.
01:13
Here, this is just something to do with crystal in particular and nobody else.
01:17
It is simply frictional unemployment.
01:20
Three, here we have industry change.
01:26
And just the way that i'm phrasing that makes it hopefully clear that we are talking about structural unemployment, right? the industry is changing...