Disguised unemployment , or hidden unemployment , is an economic term used to refer to a portion of the labor force involved in redundant work Difference Between Open Unemployment and Disguised Unemployment – Key Differences The basic difference between open and disguised unemployment lies in their visibility, utilization of skills and impact. While open unemployment is a clear and visible problem, disguised unemployment is more subtle and can be equally damaging in the long run. Open unemployment is when individuals are actively seeking but unable to find work – a situation that is clearly visible. Disguised unemployment , on ... The correct answer is the marginal productivity of labour is zero. Key Points Disguised Unemployment : It is a phenomenon wherein more people are e Disguised unemployment definition can be stated as a type of unemployment where too many individual workers are filled with few job requirements. Disguised unemployment cab leads to low productivity.