Suppose our nominal wage rate is $12 per hour, and the CPI is 135. Our labor union believes that the CPI for next year will increase to 162.If we want to maintain a constant real wage, what nominal wage should our union ask for? Question 13Answer a. $19.44 b. $14.4 c. $15.24 d. $23.64

Suppose our nominal wage rate is $12 per hour, and the CPI is 135. Our labor union believes that the CPI for next year will increase to 162.If we want to maintain a constant real wage, what nominal wage should our union ask for? Question 13Answer a. $19.44 b. $14.4 c. $15.24 d. $23.64

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Suppose our nominal wage rate is $12 per hour, and the CPI is 135. Our labor union believes that the CPI for next year will increase to 162.

If we want to maintain a constant real wage, what nominal wage should our union ask for?

Question 13Answer

$19.44

$14.4

$15.24

$23.64

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