Nominal incomes generally increase with inflation because
a. when inflation is anticipated, a...
Business, 20.09.2019 19:30, angelinailiff8531
Nominal incomes generally increase with inflation because
a. when inflation is anticipated, average nominal incomes also increase by the same percentage as the rate of inflation.
b. even anticipated inflation causes average nominal incomes to fall as prices increase.
c. when inflation is anticipated, real incomes also increase by the same percentage as inflation.
d. when inflation is unanticipated, average nominal incomes also increase by the same percentage as inflation.
since nominal incomes increase with inflation,
a. unexpected inflation does not affect the purchasing power of the average consumer.
b. expected inflation increases the purchasing power of the average consumer.
c. expected inflation does not affect the purchasing power of the average consumer.
d. expected inflation reduces the purchasing power of the average consumer.
Answers: 1
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