The Next Question Is Based on the Following Table

question 18

Multiple Choice

The next question is based on the following table:
Wage Increases in First, Second, and Third Years of Union Contracts, United States, 1997-2003

-What can be said on the basis of the union contract settlement data shown?

• A) Unions are becoming much more powerful in their ability to negotiate wage increases.
• B) Price levels in the country are rising rapidly.
• C) The most recently negotiated wage increase for a given year is below the average increase prevailing under continuing contracts for that year.
• D) Wage rates adjust immediately throughout the economy in response to changing labor market conditions.
• E) Labor markets are tight, so firms are increasing employment.

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Definitions:

Reliability

How consistently and stably a measurement instrument yields results across different instances.

Odd-even Reliability

Odd-even reliability is a method to assess the internal consistency of a test by comparing the results of odd-numbered items with those of even-numbered items.

Digital Natives

Individuals who have been exposed to digital technology from a young age and are comfortable using it, contrasting with "digital immigrants" who have had to adapt to digital innovations later in life.

Low-Income Households

Low-income households are those with total income levels significantly below the national average, often struggling to meet basic necessities such as food, housing, and healthcare.