Which of the following is a CORRECT sequence of events during a recession? O Unemployment rises, income rises, tax revenue rises, unemployment benefits rise, and the budget deficit rises. O Unemployment rises, income falls, tax revenue falls, unemployment benefits rise, and the budget deficit rises. O Unemployment falls, income falls, tax revenue falls, unemployment benefits rise, and the budget deficit rises. O Unemployment rises, income falls, tax revenue rises, unemployment benefits fall, and the budget deficit falls.
Which of the following is a CORRECT sequence of events during a recession? O Unemployment rises, income rises, tax revenue rises, unemployment benefits rise, and the budget deficit rises. O Unemployment rises, income falls, tax revenue falls, unemployment benefits rise, and the budget deficit rises. O Unemployment falls, income falls, tax revenue falls, unemployment benefits rise, and the budget deficit rises. O Unemployment rises, income falls, tax revenue rises, unemployment benefits fall, and the budget deficit falls.
Macroeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506756
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter12: Fiscal Policy, Incentives, And Secondary Effects
Section: Chapter Questions
Problem 1CQ
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![Which of the following is a CORRECT sequence of events
during a recession?
Unemployment rises, income rises, tax revenue rises,
unemployment benefits rise, and the budget deficit rises.
Unemployment rises, income falls, tax revenue falls,
unemployment benefits rise, and the budget deficit rises.
O Unemployment falls, income falls, tax revenue falls,
unemployment benefits rise, and the budget deficit rises.
O Unemployment rises, income falls, tax revenue rises,
unemployment benefits fall, ard the budget deficit falls.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F43ad6cc0-b88b-4ce1-9769-1794f8edd858%2F0642884a-8a7b-4b8f-a9bb-1ef4ea16af3f%2Fkxun34p_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Which of the following is a CORRECT sequence of events
during a recession?
Unemployment rises, income rises, tax revenue rises,
unemployment benefits rise, and the budget deficit rises.
Unemployment rises, income falls, tax revenue falls,
unemployment benefits rise, and the budget deficit rises.
O Unemployment falls, income falls, tax revenue falls,
unemployment benefits rise, and the budget deficit rises.
O Unemployment rises, income falls, tax revenue rises,
unemployment benefits fall, ard the budget deficit falls.
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