Consider the Following Scenario: in January, 8 Million People Were

question 26

Multiple Choice

Consider the following scenario: In January, 8 million people were seeking jobs but did not succeed. In February, 2 million of these people gave up and stopped looking for work. Holding all else constant, what happened to the unemployment rate in February?

• A) It increased.
• B) It decreased.
• C) It did not change.
• D) The change in the unemployment rate will depend on the number of people aged 16 and above.

---

Definitions:

General Journal

A basic accounting record for entering all types of transactions before they are transferred to specific accounts in the general ledger.

Financial Statement

Documents that report on a company's financial performance and health, including the balance sheet, income statement, and cash flow statement.

Normal Balance

is the side of an account on which increases to the account are recorded, typically either a debit for assets and expenses or a credit for liabilities, equity, and revenues.