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Matt Loses His Job and Decides to Sit Around at Home

Question 37

Multiple Choice

Matt loses his job and decides to sit around at home for a few months.Assuming that other things remain the same,what happens to the unemployment rate?


A) The unemployment rate decreases because he is not in the labour force anymore.
B) The unemployment rate increases because he is still in the labour force.
C) The unemployment rate decreases because he is still in the labour force.
D) The unemployment rate increases because he is not in the labour force anymore. .

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