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Why a) and b) is FALSE? Q8. The diagram below shows the relationship between output and unemployment fluctuations, known as Okun's law. Based on this

Why a) and b) is FALSE?

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Q8. The diagram below shows the relationship between output and unemployment fluctuations, known as Okun's law. Based on this diagram, which of the following statements is/are true? Germany (1970-2013) Spain (1961-2013) . 2009 6 6 y =-0.2048x + 0.5329 y = -0.3597x + 1.7471 A R2 = 0.2198 R2 = 0.362 N 2 2009 0 O -26 -1 0 4 9 - 6 -10 4 9 Japan (1961-2013) US (1961-2013) y = -0.0291x + 0.1574 6 y = -0.3768x + 1.2298 A R2 = 0.1615 R2 = 0.641 2009. 2 Change in unemployment rate (%) ON 2009 0 -2 -1 0 4 9 -10 4 9 Brazil (1990-2013) Malaysia (1990-2013) y = -0.1183x + 0.4161 6 y = -0.0511x + 0.3176 R2 = 0.2247 R2 = 0.4701 2 N 2009 . . .. 2009 O -2 -6 -1 0 -6 -1 0 Real GDP growth (%) a) The data from Spain show that zero growth rate of real GDP in that country is associated with a 2% unemployment rate. F b) The fact that layoffs during a downturn in the economy are more common in the US than Germany is borne out by the data

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