Which of the Following Is Generally True of Nominal Wages

question 144

Multiple Choice

Which of the following is generally true of nominal wages?

• A)In the long run,nominal wages tend to equal real wages.
• B)Nominal wages are more flexible downward than upward.
• C)Nominal wages are more flexible than prices.
• D)Nominal wages tend to adjust slowly in the downward direction.
• E)Nominal wages do not rise during labor shortages.

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Definitions:

Proactive Interference

The process by which older memories inhibit the recall of newer memories.

Retroactive Interference

A memory phenomenon where newer information interferes with the recall of older information.

List Differentiation

An ability to distinguish between memories, reducing the level of interference.

Memory Reconstruction

The alteration of a memory to provide a consistent view of the world.