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Consider unemployment insurance - a government program that financially compensates people when they become unemployed (such as California's $450 a week). Suppose a state in
Consider unemployment insurance - a government program that financially compensates people when they become unemployed (such as California's $450 a week). Suppose a state in the US decides to decrease unemployment insurance from 30 weeks to 20 weeks. What effect would this change have on the state's real GDP growth (assuming no major changes in the migration patterns of people between states) in the long run? Remember to also consider frictional unemployment. Group of answer choices Increase Decrease No change Unclear
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