Table 5.17
-Refer to Table 5.17.Looking at the table above, nominal wages ________ from 2016 to 2017, and real wages ________ from 2016 to 2017.
A)rose; rose
B)rose; fell
C)fell; rose
D)fell; fell

Question

Table 5.17 
-Refer to Table 5.17.Looking at the table above, nominal wages ________ from 2016 to 2017, and real wages ________ from 2016 to 2017.
A)rose; rose 
B)rose; fell 
C)fell; rose 
D)fell; fell

Quizplus · Accepted Answer

Nominal wages increased from $20 to $22 from 2016 to 2017, while the CPI increased from 100 to 110, resulting in a decrease in real wages from $20 to $20/1.1 = $18.18.

Table 5.17 -Refer to Table 5.17.Looking at the Table Above, Nominal Wages