The two part condition that leads to unemployment is:
This can be described as a state where there are qualified people for employment yet there are no employment opportunities for the people.
An increase in money supply raises the price level in the economy. This would lower Unemployment in the long run.
A decrease in consumer spending would mean that income of consumers have dropped.
Then consumers would spend less money to purchase goods and services from businesses. This impacts the businesses in a way that they have to drop off some of their workers.
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