Which of the Following Government Policies Is Not Likely to Reduce

question 5

Multiple Choice

Which of the following government policies is not likely to reduce unemployment?

• A) increasing payroll taxes
• B) making loans to the unemployed who wish to start businesses of their own
• C) providing retraining subsidies
• D) offering relocation assistance to the unemployed who find work out of town
• E) providing publicly funded job placement agencies

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Definitions:

Unemployment Rate

A measure of those in the labor force who are without employment and are searching for a job.

Tax Receipts

The revenue collected by the government through various forms of taxation.

Government Expenditures

Financial spending by the government on goods, services, and public projects, including healthcare, education, and infrastructure.

Built-In Stability

refers to automatic fiscal policies and regulations that stabilize economic fluctuations without additional government intervention.