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Suppose There Are 4 Million People in an Economy That

Question 54

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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.

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