What is considered a direct cause of structural unemployment?

Structural unemployment arises when there is a fundamental change in the economy that creates a mismatch between the skills that workers possess and the skills that are in demand by employers. Technological advances often lead to structural unemployment as they can render certain jobs obsolete or change the nature of work in various industries. For example, advancements in automation and artificial intelligence can replace jobs that require manual labor or routine tasks, leading to a scenario where workers may no longer have the necessary skills to meet the demands of the evolving job market.

In contrast, economic recessions generally cause cyclical unemployment, which is related to the overall demand for goods and services in the economy dropping. Seasonal changes typically relate to jobs that are temporary based on the season, leading to seasonal unemployment, rather than a structural shift in the economy itself. Temporary job losses are usually linked to short-term factors and do not indicate a lasting change in the employment structure or require a significant change in skills. Thus, technological advances are a clear direct cause of structural unemployment as they directly alter the landscape of available jobs and the skills required for those positions.