Charted: Unemployment and Recessions Over 70 Years

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There’s an age-old relationship in economics that you might not have seen before; for better or worse, unemployment and recessions have been closely correlated over the past 70 years. While unemployment does tend to rise during recessions and fall during economic expansions, very low unemployment rates often precede a recession. The severity of recessions can vary, with some resulting in more dramatic increases in unemployment compared to others. But there is one underlying truth: monitoring unemployment rates is crucial for understanding the health of the economy. Read full article here

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