Employment tends to rise when
A) aggregate output falls.
B) unemployment rises.
C) aggregate output rises.
D) labor productivity falls.

Question

Quizplus · Accepted Answer

Employment tends to rise when aggregate output rises because businesses need more workers to produce and sell more goods and services. When there is an increase in demand for goods and services, businesses may need to hire additional workers to meet the demand and increase production.

Employment Tends to Rise When