Which of the following is true?
A) The nominal wage will be constant only if the inflation rate is constant.
B) The real wage will be greater than the nominal wage only if the inflation rate is constant.
C) The nominal wage and the real wage will change by the same amount if the price level is constant.
D) The real wage will be equal to one only if the price level is zero.
E) The real wage will be constant only if the nominal wage is constant.
Correct Answer:
Verified
Q1: Identify the correct statement.
A)In periods of low
Q2: If nominal wage rates increase by 2
Q3: The potential output of an economy is:
A)the
Q4: When the economy is at its potential
Q6: A nominal wage is:
A)always equal to the
Q7: Suppose the price level increases by 5
Q8: Which of the following is true of
Q9: Suppose Jack's salary increased from $100,000 to
Q10: The real wage is equal to the:
A)wage
Q11: The nominal wage represents:
A)the wage measured in
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