Question

During economic downswings output falls faster than employment, and the ratio of output to workers falls. employment falls faster than output, and the ratio of output to workers falls. output falls faster than employment, and the ratio of output to workers rises. employment falls faster than output, and the ratio of output to workers rises.

Answer 1

output falls faster than employment, and the ratio of output to workers falls.

Step-by-step explanation:

When the economy expands, output will increase faster than employment. If the opposite happens, and the economy is at a recession, output will decrease first and then unemployment will increase. Unemployment increases as a result of the decrease in total output.

The ratio of output to worker falls because the same number of employees will produce a lower amount of total output.