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A Reduction in Unemployment Benefits Will

Question 106

Multiple Choice

A reduction in unemployment benefits will


A) decrease the amount of frictional unemployment.
B) not change the amount of frictional unemployment because unemployment benefits affects only cyclical unemployment.
C) increase the amount of frictional unemployment.
D) not change the amount of frictional unemployment because unemployment benefits affects only structural unemployment.
E) increase the amount of cyclical unemployment.

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