GED Social Studies Quiz
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ECONOMICS & GEOGRAPHY
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During a phase of economic contraction or recession, what typically happens to the unemployment rate?
A
It tends to increase as businesses reduce production and subsequently lay off workers.
B
It tends to remain stable as government programs are able to support all laid-off workers.
C
It tends to decrease as businesses hire more workers to try to stimulate demand.
D
It becomes an irrelevant measure of economic health until the economy begins to recover.
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