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Inflation and Stagflation (continued)

Question 9 • 26-27 Ignite Economics-KY-Economics

When governments spend to improve the unemployment rate or increase GDP, they are focusing more on .

Answer
A
economic needs
B
social needs

Explanation

Unemployment and GDP are economic measures: unemployment tracks jobs, while GDP measures the value of goods and services produced. Government efforts to improve these measures therefore focus more on economic needs than social needs.

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