Employment does not fluctuate as much as output over the business cycle.

Name: Employment does not fluctuate as much as output over the business cycle.
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Question

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While output (GDP) tends to rise and fall significantly over the course of the business cycle, employment tends to be more stable. This is because businesses try to avoid layoffs as much as possible, even during economic downturns, in order to retain valuable employees and maintain morale.

Employment Does Not Fluctuate as Much as Output Over the Business