What impact does unemployment have on the economy?

Question

Kenyon

Computers & Technology

20 February, 05:30

What impact does unemployment have on the economy?

+5

Answers (2)

Know the Answer?

Karlie Campbell · Answer 1

Very negative impact on the economy.

Oswaldo Baird · Answer 2

A negative impact.

Explanation:

The unemployed are also unable to purchase as many goods, so will contribute to lower spending and lower output. A rise in unemployment can cause a negative multiplier effect.