YearAntonio's Hourly wageConsumer Price Index2006$8.40201.62010$9.05218.1 Refer to Table 8.2. From 2006 to 2010, Antonio received a total of $0.65 in pay raises, and the CPI also increased as shown in the table. What happened to Antonio's real wage from 2006 to 2010?
A. It rose because Antonio's nominal wage and the CPI were both higher in 2010 than in 2006.
B. It fell because Antonio's nominal wage rose more slowly than did the CPI.
C. It rose because $9.05 is greater than $8.40.
D. It fell because the change in the CPI was 16.5, which is greater than Antonio's wage.
Answer: B
Economics
You might also like to view...
A firm that places its assets in the custody of a board of trustees is called a:
a. trust. b. combination. c. cartel. d. all of these.
Economics
If product Y is an inferior good, a decrease in consumer incomes will:
A. Make buyers want to buy less of Product Y B. Not affect the sales of product Y C. Shift the demand curve for product Y to the left D. Shift the demand curve for product Y to the right
Economics