Why does unemployment continue to rise as an expansion begins? ... O A. In the early stages of an expansion, the labor force decreases. OB. As an expansion begins, previously marginally attached workers look for jobs, exceeding the number of people hired. C. In the early stages of an expansion, unemployment increases as firms lay off workers in an attempt to cut costs. OD. The unemployment rate is a leading indicator of the business cycle, so unemployment continues to rise as an expansion begins.

Why does unemployment continue to rise as an expansion begins? ... O A. In the early stages of an expansion, the labor force decreases. OB. As an expansion begins, previously marginally attached workers look for jobs, exceeding the number of people hired. C. In the early stages of an expansion, unemployment increases as firms lay off workers in an attempt to cut costs. OD. The unemployment rate is a leading indicator of the business cycle, so unemployment continues to rise as an expansion begins.

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter18: Introduction To Macroeconomics: Unemployment, Inflation, And Economic Fluctuations

Section: Chapter Questions

Problem 7P

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