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Why is it in the interest of politicians to promote the notion that unemployment can be...

Why is it in the interest of politicians to promote the notion that unemployment can be lowered if federal spending is increased?
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Answer #1

A politician will promote the fact that the increase in the government spending will increase the output in the economy because it acctually does, federal spending can increase the aggregate demand in the economy as it is part of the aggregate demand. A higher aggregate demand will increase the price, at a higher price the real wages will be low and the firm in the market will hire more at a lower real wage. It will increase the employment.

Moreover, it will increase the spending in the market and encourage investment , with higher investment people will employ more and that will decrease the unemployment in the economy.

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