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3 years ago

The Bureau of Labor Statistics reports the aggregate unemployment rate for the United States.

Business

1 answer:

ludmilkaskok [199]3 years ago

4 0

Answer: (i)Increase

(ii)decrease

(iii)Higher

Explanation:

in a recession in any country the unemployment rate increases due to the following factors firstly in a recession the GDP(gross Domestic Product) has actually contracted or declined due to a negatively growing economy so therefore GDP contains every factor that happens in an economy because it is the sum of the consumer spending and business investment which are two key factors in an economy so if for example business investment declines then that means the business will not expand and therefore productivity will increase at a decreasing rate therefore companies will end up laying off people in order to cut costs then the unemployment rates will increase.

conversely during expansions businesses have more amounts to invest and that causes expansions in a business and improvements in things like technology and research will make companies hire more people and that will make a company have more employees and decrease the unemployment rate. That is why the unemployment rate among adults has tended to be higher than the unemployment rate among teenagers.

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