If the Percentage Increase in Nominal Wage Rates Is Less

question 13

Multiple Choice

If the percentage increase in nominal wage rates is less than the percentage increase in the price level, then:

• A)real wage rate rises and the unemployment rate falls.
• B)both real wage rate and the unemployment rate rises.
• C)both real wage rate and the unemployment rate falls.
• D)real wage rate rises and the unemployment rate remains unchanged.
• E)both real wage rate and the unemployment rate remains unchanged.

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Definitions:

Belief in a Just World

A psychological tendency to believe that the world is fundamentally fair, leading individuals to rationalize an otherwise inexplicable injustice as deserved by the victim.

Stressful Situations

Circumstances or events that cause a state of strain or tension, often triggering the body’s response to perceived threats or challenges.

Control

In experimental research, the standard to which comparisons are made by maintaining constant factors aside from the variable being tested.

Success

The achievement of set goals or objectives, often recognized by positive outcomes.