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One Explanation for the Persistently High Unemployment Rates in Europe

Question 75

Multiple Choice

One explanation for the persistently high unemployment rates in Europe during the 1990s is that


A) unemployment rates have always been high in Europe
B) the United States has "exported" unemployment through its economic policies
C) the labor supply in Europe increased faster than labor demand increased
D) the labor supply in Europe increased while labor demand decreased
E) European labor demand decreased because of legislation that makes hiring a worker an almost irreversible decision

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