Solved

Refer to Table 8

Question 28

Multiple Choice

 Year  Antonio’s Nominal  Hourly Wage  Consumer Price  Index 2006$8.40201.62010$9.05218.1 Table 8.2\begin{array}{l}\begin{array} { | c | c | c | } \hline \text { Year } & \begin{array} { c } \text { Antonio's Nominal } \\\text { Hourly Wage }\end{array} & \begin{array} { c } \text { Consumer Price } \\\text { Index }\end{array} \\\hline 2006 & \$ 8.40 & 201.6 \\\hline 2010 & \$ 9.05 & 218.1 \\\hline\end{array}\\\text { Table } 8.2\end{array} 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 $9.05 is greater than $8.40.
B) It rose because Antonio's nominal wage and the CPI were both higher in 2010 than in 2006.
C) It fell because Antonio's nominal wage rose more slowly than did the CPI.
D) It fell because the change in the CPI was 16.5, which is greater than Antonio's wage.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions