The code will output 'both falsy'. The logical OR (||) operator returns the first truthy operand it encounters, or the last operand if all are falsy. In this case, both '' (empty string) and 0 are falsy. Since neither of the first two operands are truthy, the expression continues to the last operand, 'both falsy', which is returned. This pattern is useful for providing a default value when multiple variables might be falsy. The chain of OR operators creates a fallback mechanism: use x if it's truthy, otherwise use y if it's truthy, otherwise use the final fallback value.