Ruben Earned a Salary of $60,000 in 2001 and $80,000

question 71

Multiple Choice

Ruben earned a salary of $60,000 in 2001 and $80,000 in 2006.The consumer price index was 177 in 2001 and 221.25 in 2006.Ruben's 2006 salary in 2001 dollars is

• A)$20,000;thus,Ruben's purchasing power increased between 2001 and 2006.
• B)$20,000;thus,Ruben's purchasing power decreased between 2001 and 2006.
• C)$64,000;thus,Ruben's purchasing power increased between 2001 and 2006.
• D)$64,000;thus,Ruben's purchasing power decreased between 2001 and 2006.

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Definitions:

Goal-Setting Theory

A motivational theory that emphasizes the setting of specific, measurable, achievable, relevant, and time-bound (SMART) goals to enhance performance.

Acquired-Needs Theory

A motivational model that suggests people's needs are acquired over time and are shaped by life experiences, including needs for achievement, affiliation, and power.

ERG Theory

is a motivational theory proposed by Clayton Alderfer that categorizes human needs into three groups: Existence, Relatedness, and Growth, suggesting that more than one need can be motivational at the same time.

Need for Power

A personal drive and motivation to influence, control, or have authority over others.