According to Most Economists, What Would Be an Effect of Eliminating

question 192

Multiple Choice

According to most economists, what would be an effect of eliminating unemployment insurance?

• A) It would cause an increase in unemployment because people would quit jobs they thought were not secure.
• B) It would cause an increase in unemployment because if the government didn't provide unemployment insurance, private firms would offer superior insurance.
• C) It would cause a decrease in unemployment and an improvement in economic well-being.
• D) It would cause a decrease in unemployment, but economists disagree about whether economic well-being would be enhanced by such a change.