The slowdown in the growth of real wages in the United States since 1973 is consistent with a concurrent:
A)slowdown in productivity gains.
B)slowdown in the growth of the working age population.
C)slowdown in immigration into the country.
D)speedup in the rate of inflation.

Question

Quizplus · Accepted Answer

A slowdown in productivity gains will reduce (or even reverse)the growth in the demand for labor. Slower increases in the demand for labor will reduce the growth in real wages and a decrease in the demand for labor will reduce real wages as demand shifts left.

The Slowdown in the Growth of Real Wages in the United