Which of the Following Statements Correctly Characterizes the Trend in Real

question 28

Multiple Choice

Which of the following statements correctly characterizes the trend in real wages since 1960?

• A) The real product wage kept pace with labor productivity, but the real consumption wage was fairly stagnant.
• B) The real consumption wage kept pace with labor productivity, but the real product wage fell.
• C) Labor productivity fell, leading to declines in both the real product wage and the real consumption wage.
• D) Both the real consumption wage and the real product wage remained stable over the last 40 years.

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Definitions:

Disappointing Event

An occurrence that falls short of expectations, leading to feelings of dissatisfaction or sadness.

Relationship

The way in which two or more concepts, objects, or people are connected, or the state of being connected.

Rewarding

Providing a positive benefit or reinforcement following a desired behavior, thereby increasing the likelihood of its future occurrence.

Learned Optimism

The concept of developing a more positive outlook on life through techniques that challenge and change negative beliefs and attitudes.