The Reason That Inflation Rarely Harms Workers Is That

question 141

Multiple Choice

The reason that inflation rarely harms workers is that

• A)wages rise at the same time prices rise.
• B)wages fall when prices rise.
• C)nominal income falls as prices rise.
• D)the minimum wage rate automatically rises when the price level rises.

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Definitions:

Situational Cues

Environmental indicators or signals that provide context or influence individuals' perceptions and behaviors in a given situation.

Nonverbal Signals

Forms of communication without words, such as gestures, body language, posture, tone of voice, and facial expressions.

Layoff

The temporary or permanent dismissal of employees from their job due to economic downturns, restructuring, or other organizational changes.

CEO

Chief Executive Officer, the highest-ranking person in a company or institution, ultimately responsible for making managerial decisions.