Suppose Workers and Firms Expect the Overall Price Level to Increase

Multiple Choice

Suppose workers and firms expect the overall price level to increase by 5%.Given this information,we would expect that

A) the nominal wage will increase by less than 5%.
B) the nominal wage will increase by exactly 5%.
C) the nominal wage will increase by more than 5%.
D) the real wage will increase by 5%.
E) the real wage will increase by less than 5%.