Answer to Question #233093 in Macroeconomics for Uplinking Kelvin

Question

Is an increase in unemployment rate necessarily a good thing for a nation? Expain

Answer 1

                                Solution:

An increase in the unemployment rate is normally a good thing for a nation. This is because it means that some civilian labor force who were previously discouraged i.e had given up looking for a job have now started looking for work again. Therefore, this means that the economy is booming and that’s why many people are now opting to work again, which is good for a nation.