In 1987, Professors Katz and Meyer performed an experiment to analyze the behavior of unemployed people who receibed unemployment benefits. They observed that, as the time to the end of the subsidy got closer, the probablity of unemployed people finding a job increased. This conclusion suggests that

ANSWER ONLY, NO EXPLANATION REQUIRED

Unemployed peoople need a long period of time in order to find a job and, therefore, unemployment benefits are essential.

Unemployed people need a short time period of time in order to find a job and, therefore, the unemployment subsidy is too costly.

The lack of unemployment benefits would reduce the search effort of the unemployed people.

The lack of unemployment benefits would rise the search effort of the unemployed people.