Multiple Choice
The presence of discouraged workers
A) increases the size of the labor force but does not affect the unemployment rate.
B) reduces the size of the labor force but does not affect the unemployment rate.
C) may cause the official unemployment rate to understate the true amount of unemployment.
D) may cause the official unemployment rate to overstate the true amount of unemployment.
Correct Answer:
Verified
Correct Answer:
Verified
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