Your nominal wage increases from $12 per hour to $13 per hour. At the same time, the price level increases from 140 to 147 . As a result,
a. The number of dollars you receive increases and the purchasing power of the dollars you receive increases.
b. The number of dollars you receive increases and the purchasing power of the dollars you receive decreases.
c. The number of dollars you receive decreases and the purchasing power of the dollars you receive increases.
d. The number of dollars you receive decreases and the purchasing power of the dollars you receive decreases.
a
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Which of the following is a benefit of economic growth?
A) reduction in illiteracy B) reduction in poverty C) improved health D) all of the above
The production possibilities curve tells us that if full employment exists and a nation wishes to permanently increase its production of military goods, it must
A. also increase its production of nonmilitary goods. B. reduce its output of nonmilitary goods. C. suffer inflation. D. suffer unemployment.