If Nominal Income Increases,then Real Income

question 73

Multiple Choice

If nominal income increases,then real income

• A) increases.
• B) increases if the price index falls.
• C) increases if the percent increase in price index rises by more than the percent change in nominal income.
• D) increases if you buy only the goods included in the consumer price index (CPI)and the majority of those goods get cheaper.
• E) decreases.

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