Evidence from research studies by economists: a. shows that increased unemployment benefits decrease the job search efforts of the unemployed. b. shows that increased unemployment benefits have virtually no effect on the job search efforts of the unemployed. c. shows that increased unemployment benefits increase the job search efforts of the unemployed. d. is conflicting on what increased unemployment benefits do to the job search efforts of the unemployed.

Question

Ella Frank

Social Studies

22 January, 02:16

Evidence from research studies by economists: a. shows that increased unemployment benefits decrease the job search efforts of the unemployed. b. shows that increased unemployment benefits have virtually no effect on the job search efforts of the unemployed. c. shows that increased unemployment benefits increase the job search efforts of the unemployed. d. is conflicting on what increased unemployment benefits do to the job search efforts of the unemployed.

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Answers (1)

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Matilda Vaughn · Answer 1

A. Shows that increased unemployment benefits decrease the job search efforts of the unemployed

Explanation:

That is a common social behavior inside the society but specially in socialist countries. usually, when people are used to receive a subsidy (benefit) they don't see the necessity to work because the government covers them their basic necessities to survive through that benefit. that situation weakens the productive apparatus of a country, in other words, the GDP decrease, and in consequence, there would has a crisis, inflation, fiscal deficit rise, increase the external debt etc ...