Multiple Choice
Suppose there are 4 million people in an economy that are classified as unemployed.After a more thorough investigation,it becomes obvious that 200,000 of these people are actually phantom unemployed.As a result of this discovery,the unemployment rate will
A) Decrease.
B) Increase.
C) Remain unchanged until the unemployed find a job.
D) Increase initially but decrease when the phantom unemployed receive unemployment benefits.
Correct Answer:

Verified
Correct Answer:
Verified
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