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Real Wage
Wages adjusted for inflation, reflecting the actual purchasing power of income earned from labor.
Inflation
The tempo at which the aggregate cost of goods and services ascends, depleting the power of purchase.
Nominal Wage
Nominal Wage refers to the amount of money paid to workers in current dollars, without adjusting for inflation or purchasing power.
Real Wage
The purchasing power of an individual's earnings, considering inflation, reflecting the actual goods and services that wages can buy.
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