Suppose you recently took a pay cut of 2% at your job. You expect the price level to fall by 3% during this year. What would be the impact on your real wage?
a. The real wage would fall by 3%
b. The real wage would rise by 3%
c. The real wage would fall by 1%
d. The real wage would rise by 1%
e. The real wage would be unchanged
D
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Refer to Table 3-4. The table above shows the demand schedules for cashews of two individuals (Jordy and Amy) and the rest of the market. At a price of $6, the quantity demanded in the market would be
A) 87 lbs. B) 95 lbs. C) 103 lbs D) 215 lbs.
A bank failure occurs whenever
A) a bank cannot satisfy its obligations to pay its depositors and other creditors. B) a bank suffers a large deposit outflow. C) a bank has to call in a large volume of loans. D) a bank refuses to make new loans.
Employing the error learning model to forecast sales, a firm where sales last period were expected to be $110 million, but actually sold $100 million would forecast that sales this period would be ________ if ________ is the coefficient of adjustment
. A) 103; 0.03 B) 105; 0.5 C) 110; 0.10 D) All of the above are correct.
Which of the following fiscal policy actions would definitely cause a reduction in the size of an inflationary gap?
A) cuts in taxes and increases in government spending B) increases in government spending C) increases in taxes D) cuts in taxes