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Unemployment insurance could affect unemployment: a. by decreasing the equilibrium level of unemployment. b. All of...

Unemployment insurance could affect unemployment:

a. by decreasing the equilibrium level of unemployment.

b. All of these are true.

c. by decreasing the amount of frictional unemployment.

d. by changing the incentives of those unemployed and looking for work.

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Answer #1

ANs) the correct option is b. All of these are true.

Unemployment insurance can affect how quickly people find jobs and will affect the natural rate of unemployment.

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