Suppose the Price Level Rises,but the Number of Dollars You

question 67

Multiple Choice

Suppose the price level rises,but the number of dollars you are paid per hour stays the same.This means that your

• A)nominal wage is higher.
• B)nominal wage is lower.
• C)real wage is higher.
• D)real wage is lower.

---

Definitions:

Municipal Bond

A bond issued by a local government or territory, or one of their agencies. It is generally used to finance public projects such as roads, schools, airports, and infrastructure-related repairs.

Treasury Bill

A treasury bill is a short-term government security issued at a discount from the face value and pays no interest, but is redeemed at its full face value at maturity.

Treasury Bond

A Treasury bond is a long-term, fixed interest rate debt security issued by the U.S. government with a maturity of more than 10 years.

Price-Earning Ratio

A financial ratio that measures the market value of a stock compared to its earnings per share, indicating the relative value of a company's shares.