A Factory Worker Earned $10 an Hour in 1980

question 32

Multiple Choice

A factory worker earned $10 an hour in 1980. The CPI was 0.82 in 1980. The same factory worker was earning $15 an hour in 1990 when the CPI was 1.31. From 1980 to 1990, the factory worker's hourly real wage:

• A)increased from $7.63 to $18.29.
• B)decreased from $12.20 to $11.45.
• C)remained constant.
• D)increased from $10 to $15.

---

Definitions:

Random Variable

A variable whose values come from the numerical outcomes of random events.

Discrete

Referring to a type of variable that can assume distinct and separate values, often countable in nature.

Probability Function

A probability function is a mathematical function that provides the probabilities of occurrence of different possible outcomes for an experiment.