In Figure 3.15 we observe that seasonally unadjusted employment is actually quite variable. It is an accepted idea that one of the roles of economic policy is to smooth out fluctuations in seasonally adjusted employment. But, given that seasonally unadjusted employment is highly variable, should economic policymakers act to smooth unadjusted employment over the year? Discuss.

Figure 3.15:

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19 18 F 17E 16 15 14 13 12 11 10 2000 1975 1980 1985 1990 1995 2005 2010 2015 2020 Year Employment in Millions