Economics 9708 · AS & A Level · Unemployment

Unemployment — practice question

A government seeks to secure consistent, stable growth, matching the economy’s long-term rise in productivity. If this goal is reached, what effect is it likely to have on average living standards and the level of unemployment?

  • Aaverage living standards: constant; level of unemployment: falling
  • Baverage living standards: falling; level of unemployment: unchanged
  • Caverage living standards: rising; level of unemployment: rising
  • Daverage living standards: rising; level of unemployment: unchanged

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