In the Summer of 2008,consumers indicated that they were less optimistic about the future of the economy.This change in sentiment would likely

Question

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When consumers are less optimistic about the future of the economy, they tend to spend less and save more, leading to a decrease in aggregate demand. This decrease in demand can cause firms to decrease production, leading to a rise in unemployment as firms lay off workers.

In the Summer of 2008,consumers Indicated That They Were Less