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O-LevelEconomicsGovernment and the macroeconomy2281/12 · Oct/Nov 2024 · Q211 Mark

What causes cyclical unemployment in a recession?

Apermanent decrease in the demand for labour
Bpermanent decrease in the supply of labour
Ctemporary decrease in the demand for labour
Dtemporary decrease in the supply of labour

✓ Correct answer

C: temporary decrease in the demand for labour

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About this question

Topic
Government and the macroeconomy, O-Level Economics (syllabus 2281). Multiple choice, 1 mark.
Source
O-Level Economics, Oct/Nov 2024 Paper 1 Variant 2, question 21.

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