Suppose Workers Receive a 5 Percent Increase in Wages and Prices

question 99

Multiple Choice

Suppose workers receive a 5 percent increase in wages and prices are rising by 5 percent. Workers will experience

• A) an increase in nominal wages and a decrease in real wages.
• B) an increase in nominal wages and an increase in real wages.
• C) an increase in nominal wages but real wages are unchanged.
• D) a decrease in nominal wages and a decrease in real wages.

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Definitions:

Cell Walls

Rigid, protective outer layers found in plants, fungi, and bacteria, providing support and shape to cells.

Macronutrient

Macronutrients are essential nutrients that organisms need in relatively large amounts to maintain growth, metabolism, and normal functioning, and include proteins, fats, and carbohydrates.

Stomata

Small openings or pores, typically found on the underside of leaves, allowing for gas exchange between the plant and its external environment.

Macronutrient

Essential nutrients required in large amounts by living organisms, including carbohydrates, proteins, and fats, which provide energy and structural materials.