Which of the following could cause the US economy to go into a recession? a) a declining stock market and an increase in unemployment b) an increase in pessimism by consumers and businesses c) All of the choices are correct d) a decrease in Aggregate Demand e) None of the choices is correct

Which of the following could cause the US economy to go into a recession? a) a declining stock market and an increase in unemployment b) an increase in pessimism by consumers and businesses c) All of the choices are correct d) a decrease in Aggregate Demand e) None of the choices is correct

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter20: Aggregate Demand And Supply

Section: Chapter Questions

Problem 7SQ

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Question

Which of the following could cause the US economy to go into a recession?

a) a declining stock market and an increase in unemployment

b) an increase in pessimism by consumers and businesses

c) All of the choices are correct

d) a decrease in Aggregate Demand

e) None of the choices is correct

Definition Definition State in which an individual is without work, despite actively seeking employment opportunities. The unemployment rate refers to the percentage of the workforce that is currently unemployed. Unemployment is one of the key indicators of the conditions prevailing in an economy. It is therefore considered a barometer that points out the condition of an economy.

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