Thursday, September 18, 2008

Unit 2: Rising unemployment in the UK

UK unemployment is rising according to this BBC clip

http://news.bbc.co.uk/1/hi/uk/7621225.stm

a) Why is the brick company laying off workers?
b) Using an AD/AS diagram, explain what is happening in the UK economy to cause this rise in unemployment
c) Suggest 3 different policy measures the government could use to reduce unemployment
d) Give one drawback of using each method

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