Structural change refers to significant shifts in the way an economy operates, often involving changes in the relative importance of different sectors, such as agriculture, manufacturing, and services. These changes can result from technological advancements, shifts in consumer preferences, or changes in government policies. Such transformations can lead to increased productivity and economic growth, but they may also cause disruptions in the labor market. Workers in declining sectors may face job losses, while new opportunities arise in growing sectors, necessitating workforce retraining and adaptation to new skills and industries.