Which of the Following Is NOT a Reason Why Unemployment

question 179

Multiple Choice

Which of the following is NOT a reason why unemployment rises during recessions?

• A) because of labor reallocation among affected industries in response to real economic shocks
• B) because wages do not fall as fast as prices
• C) because of increases in aggregate demand
• D) firms cannot afford to employ as many workers

---

Definitions:

Resistance

The opposition or counteracting force in various contexts, such as psychological resistance to change or physical resistance in electrical conductance.

Freud

The founder of psychoanalysis, a theory of the mind, which focuses on unconscious psychological processes.

Antidepressant Drugs

Medications prescribed to relieve symptoms of depression by correcting imbalances of neurotransmitters in the brain.

Physical Side Effects

Unintended changes in the body that occur as a result of medication, treatment, or other interventions.