Suppose the demand for hard-wood flooring increases, while the demand for wall-to-wall carpeting decreases. Based on this change in consumer tastes, the demand for hard-wood- flooring factory workers in North Carolina increases, while the demand for carpet factory workers in Georgia decreases. This is an example of:

I answered structural unemployment since the demand is related to the economic, now workers from GA needs to learn new skills to get a job in NC., But the correct answer is Frictional. Can you explain why is it Frictional? what is the trick to identify structural or frictional unemployment? Any specific word in the problem that can tell me?

Thanks

Selected Answer: b. structural unemployment created by sectoral shifts.

Answers: a. frictional unemployment created by sectoral shifts.