Workers usually negotiate compensation in terms of the nominal wage because wage agreements are based on expected price levels
a. True
b. False
Indicate whether the statement is true or false
True
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Suppose the current equilibrium wage rate for landscapers is $6.65 in Little Rock; $7.50 in St. Louis and $9.05 in Raleigh. An increase in the minimum wage to $7.50 per hour results in unemployment of landscapers in
A) Little Rock and St. Louis. B) only Raleigh. C) Little Rock, St. Louis, and Raleigh. D) only Little Rock. E) St. Louis and Raleigh.
A convertible currency is a currency that may be freely exchanged for
A) domestic assets. B) only silver. C) only copper. D) national currency. E) foreign currencies.
The nominal wage increases from $20,000 to $21,000 while the price of a car increases by 7%. In this case, the percentage change in the real annual wage (in terms of cars) is about
A. 2%. B. -2%. C. -1%. D. 5%.
States pay for 50 percent of the administrative costs of the Supplemental Nutrition Assistance Program.
Answer the following statement true (T) or false (F)