Multiple Choice
The two-sided search model is consistent with which of the following business cycle facts?
A) The unemployment rate is countercyclical and the vacancy rate is acyclical.
B) The unemployment rate is countercyclical and the vacancy rate is countercyclical.
C) The unemployment rate is countercyclical and the vacancy rate is procyclical.
D) The unemployment rate is acyclical and the vacancy rate is procyclical.
E) The unemployment rate is procyclical and the vacancy rate is procyclical.
Correct Answer:
Verified
Correct Answer:
Verified
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