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Economist Robert Barro Attributes the Increase in the Duration of Unemployment

Question 9

Multiple Choice

Economist Robert Barro attributes the increase in the duration of unemployment to ______, while economist Paul Krugman attributes the increased duration to _____.


A) increased immigration of low-wage workers; tax cuts given to high-wage workers
B) contractionary monetary policy; expansionary fiscal policy
C) high marginal tax rates on the wealthy; high marginal tax rates on low-wage workers
D) expanded unemployment-insurance coverage; insufficient consumer demand

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