If the Discouraged Workers Were Included in the Labor Force

question 41

Multiple Choice

If the discouraged workers were included in the labor force,

• A)the unemployment rate would fall.
• B)the labor force would decrease.
• C)the employment rate would rise.
• D)the unemployment rate would rise.

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Definitions:

Overall Prices

Overall prices refer to the general level of prices for goods and services in the economy, often assessed through indicators like the Consumer Price Index (CPI).

Price Level

A measure of the average prices of goods and services in an economy, indicating the cost of living or inflation rate.

Falling Prices

A situation in an economy where the prices of goods and services decrease over time.

Extraordinarily High Inflation

A situation where the rate of inflation becomes extremely high and uncontrollable, eroding purchasing power and destabilizing the economy.