Janet Is Receiving a 5% Pay Raise

question 185

Multiple Choice

Janet is receiving a 5% pay raise. If the rate of inflation is 2%, then Janet's purchasing power is:

• A) falling.
• B) rising.
• C) unaffected by either inflation or the pay raise, because they are expressed in nominal and not in real terms.
• D) It is impossible to tell what is happening to Janet's purchasing power without further information.

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Definitions:

Motor Neurons

Neurons that transmit signals from the brain or spinal cord to muscles or glands, causing them to act.

Spinal Cord

The cylindrical bundle of nerve fibers that runs from the brainstem down the spine and mediates nerve signals between the brain and the body.

Reflexes

Reflexes are involuntary and nearly instantaneous movements in response to a stimulus, serving as basic building blocks of behavior and survival mechanisms.

Peripheral Nervous System

A part of the nervous system that lies outside the brain and spinal cord, responsible for transmitting information to and from the central nervous system and the rest of the body.