According to classical economists,the increase in the unemployment rate in recessions occurs because
A)aggregate demand is insufficient.
B)the time needed to find a job rises in recessions.
C)labor unions prevent firms from cutting wages.
D)firms will replace workers by machines.

Question

Quizplus · Accepted Answer

Classical economists believe that the increase in unemployment during recessions is primarily due to the time needed to find a job rising, as the overall economic activity slows down, affecting the labor market dynamics.

According to Classical Economists,the Increase in the Unemployment Rate in Recessions