If your real income rises but your nominal income falls, then you benefit from deflation.
Answer the following statement true (T) or false (F)
True
In this case, the price level is falling faster than your nominal income is, so your real income rises.
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Assume the demand schedule for cookies is downward sloping. If the price of cookies falls from $2.50 to $2.25 per dozen: a. the demand for cookies will fall
b. the demand for cookies will rise. c. a larger quantity of cookies will be demanded. d. a smaller quantity of cookies will be demanded.
Briefly describe what happens when a perfectly competitive firm increases the total quantity it supplies of a good
More than 50 years ago Americans were warned to "beware of the military-industrial complex" by
A. General Douglas MacArthur. B. President Dwight D. Eisenhower. C. Vice President Richard Nixon. D. President John F. Kennedy.
Which of the following statements is true?
A) Opportunity cost = explicit cost - implicit cost. B) Variable cost = wages + salaries + benefits. C) Total cost = fixed cost + variable cost. D) Total cost = fixed cost + implicit cost.