Which of the Following Statements Is NOT True About the Labour

question 89

Multiple Choice

Which of the following statements is NOT true about the labour market during economic fluctuations?

• A) The unemployment rate rises during recessions.
• B) The unemployment rate drops during expansions.
• C) The part of unemployment that is associated with recessions is called cyclical unemployment.
• D) Real wages grow quickly during recessions.
• E) Workers are less likely to receive promotions during recessions.

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Definitions:

Sugary Soft Drinks

Beverages that contain added sugar or sweeteners to enhance flavor, often associated with negative health effects when consumed in excess.

Elastic Demand

A situation in which the quantity demanded of a good or service significantly changes in response to a change in price.

Tax Revenue

The income that is gained by governments through taxation, which is then used to fund public services and goods.

Price Elastic

Refers to the sensitivity of the demand for a good or service to changes in its price; highly elastic demand means consumers will significantly alter their purchase amount with price changes.