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andreyandreev [35.5K]
2 years ago
8

1.samuelson and nordhaus say there is a possible connection between GDP and a recession. what is the connection?

History
1 answer:
allochka39001 [22]2 years ago
3 0

Answer:

GDP declines, and unemployment rates rise because companies lay off workers to reduce costs. At the microeconomic level, firms experience declining margins during a recession. When revenue, whether from sales or investment, declines, firms look to cut their least-efficient activities.

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