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During a Recession, Unemployment Insurance Ensures That _____

Question 94

Multiple Choice

During a recession, unemployment insurance ensures that _____


A) the disposable income of those who are unemployed will increase above the usual level.
B) disposable income does not fall as much as the decrease in GDP.
C) disposable income increases as GDP falls.
D) the marginal propensity to consume increases.
E) the marginal propensity to consume decreases.

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