If Your Salary Increased by 7 Percent and Prices Increased

question 23

Multiple Choice

If your salary increased by 7 percent and prices increased by 4 percent, by how much did your real wage rise?

• A)3 percent
• B)4 percent
• C)6 percent
• D)7 percent

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Definitions:

Capitalist Societies

Societies characterized by private or corporate ownership of capital goods, by investments determined by private decision, and by prices, production, and the distribution of goods determined mainly by competition in a free market.

Class Status

An individual's or group’s position within a hierarchical social structure influenced by factors like wealth, occupation, education, and lineage.

Status Inconsistency

A situation in which an individual holds differing and contradictory levels of status in terms of wealth, power, prestige, or other elements of socioeconomic status.

Prestige

The respect, admiration, or high regard accorded to an individual, occupation, or organization based on perceived successes, achievements, or status.