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Abstract

This study investigates the variability of the relationship between economic growth and unemployment over the course of the Great Recession in the United States. The study uses output and unemployment data from 1996 to 2019. The time period was split into two sub-periods, pre-recession (1996-2007) and post-recession (2008-2019). The coefficient for output growth as it relates to unemployment was estimated for all three periods and compared. This study concluded that there is a significant negative relationship and no variability of the coefficients across different business cycles surrounding the Great Recession.

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