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[[1]] unemployment refers to a situation where more people are employed than what is required.

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Detailed Solution

Disguised unemployment refers to a situation where more people are employed than what is required.
Some people are visibly employed but are not contributing to the production. It is also known as "Hidden Unemployment." This type of unemployment is more prominent in rural areas where families are engaged in the agriculture sector and the fields are overcrowded. For example, eight members of the family work on the same piece of the plot even though only five are required. These extra 3 members are not contributing additionally to their family income. They could have worked somewhere else and increased their family income.

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