During recessions, unemployment ________ while the budget deficit as a percentage of GDP ________.

Question

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During recessions, unemployment typically increases as businesses lay off workers and consumers reduce spending. At the same time, the government may increase spending on programs such as unemployment benefits, which can lead to an increase in the budget deficit. Therefore, both unemployment and the budget deficit as a percentage of GDP tend to increase during recessions.

During Recessions, Unemployment ________ While the Budget Deficit as a Percentage