Which of the following statements about Structural Change based on the material covered in the lecture are TRUE:

1. Cyclical unemployment occurs due to total economic activity shrinking. Structural unemployment occurs due to the changing composition of the economy (some industries shrinking while other industries may be expanding).
2. According to the lectures, the Global Pandemic of 2020-21 increased the rate of adoption of digital services and communication technologies. Moving more business activities into the digital domain can make it easier to automate those activities. It also can make it easier to replace expensive local labour with relatively less expensive foreign labour.