On a graph with real GDP growth on the x-axis and the unemployment rate on the y-axis,you plot each year's values for the United States as a separate point.What does the overall trend in this graph look like?
A) An upward-sloping line
B) A vertical line
C) A horizontal line
D) A downward-sloping line

Question

Quizplus · Accepted Answer

The overall trend in the graph would be a downward-sloping line, as there is typically an inverse relationship between GDP growth and unemployment rate. As GDP grows, there tends to be more job opportunities, leading to a decrease in unemployment. Conversely, during periods of economic recession or slowdown, we typically see both a decrease in GDP growth and an increase in unemployment.

On a Graph with Real GDP Growth on the X-Axis