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What Is Mike's New Salary If He Earned $40,000 Last

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What is Mike's new salary if he earned $40,000 last year, the consumer price index increased from 120 to 125, and his salary is adjusted by the rate of inflation annually?


Definitions:

Social Interactions

The process by which individuals act and react in relation to others within society, encompassing both verbal and nonverbal communication.

Disequilibrium

Disequilibrium refers to a situation in which there is an imbalance or mismatch, often used in economics to describe markets where supply does not equal demand, but also applicable in other contexts such as biology and psychology.

Rational Choice Theory

A framework that assumes individuals act based on rational calculations to maximize their benefits and minimize their losses in any given situation.

James Coleman

An influential American sociologist known for his work on educational sociology and social theory.

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