Question
GeneralGeneralGeneral

what is the difference between disguised unemployment and seasonal unemployment?

Verified Answer

Disguised unemployment and seasonal unemployment are two different types of unemployment commonly seen in developing economies, especially in agriculture.

Basis Disguised Unemployment Seasonal Unemployment
Meaning More people are employed than actually needed for a job. People get work only during certain seasons of the year.
Productivity Some workers contribute little or nothing to output. Workers remain unemployed during the off-season.
Duration Can exist throughout the year. Occurs only for a specific period.
Common Sector Agriculture and family-run businesses. Agriculture, tourism, and seasonal industries.
Example Six people working on a farm where four are sufficient. A farm worker unemployed after the harvesting season ends.

In simple terms: Disguised unemployment occurs when extra workers are employed without increasing production, while seasonal unemployment occurs when work is available only during particular seasons.