A downturn has reduced total spending on goods and services. Firms in several unrelated industries have cut their workforces. Total spending then begins to recover.
Which forecast best follows from the change in total spending?
The job losses should ease as firms need more workers when demand strengthens.
People without work should find jobs as they finish searching between roles.
The number without work should follow a predictable pattern each year.
The job losses are likely to persist until workers retrain for different jobs.
65 exam-style questions on OCR GCSE Economics 3.2 Low unemployment, covering 3.2.1 Employment and unemployment, 3.2.2 Measuring unemployment, 3.2.3 Calculate the unemployment rate, 3.2.4 Analyse unemployment figures, 3.2.5 Types of unemployment, and 3.2.6 Causes and consequences of unemployment. Each one has a worked solution and a mark scheme showing where the marks go.