What if productivity increases more than nominal wages

Reference no: EM13184528

If nominal wages and productivity increase by the same amount throughout the macroeconomy, would you expect aggregate supply to increase, decrease, or stay the same? What if productivity increases more than nominal wages?

Reference no: EM13184528

Questions Cloud

Define groups planned investment functions : 1. If interest rates or opportunity costs investment, happened to be the same in both developed countries and emerging economy nations, what could account for faster upward shifts in the latter group's planned investment functions 2.Are stocks of ..

What type of investment would foreign residents undertake : 1. How might freeing up dead capital have helped to increase Mongolia's rate of economic growth 2.What type of investment would foreign residents undertake if they were to purchase a small fraction of the shares of stocks owned by Mongolia's ..

Calculate points on the aggregate demand curve : Given that monetary policymakers, firms, and workers all recognize that the decline in the real exchange rate is only temporary and given the three policy responses described in part d of 580 Chapter 17 New Classical Macro Confronts New Keynesian ..

Evaluate the breakeven point in units and dollars : Determine the breakeven point in units and dollars. Also, determine the number of units and dollars that need to be sold to make a target profit of $5,000 a month.

What if productivity increases more than nominal wages : If nominal wages and productivity increase by the same amount throughout the macroeconomy, would you expect aggregate supply to increase, decrease, or stay the same What if productivity increases more than nominal wages

Why might all bank customers have to pay interest fees : 1. Why do you that the market clearing interest rates on bank savings and time deposits have fallen as the interest rates on bank loans have dropped 2. If interest rates earned by banks on their assets fell close to zero, why might all ..

Do the monopoly firms still have monopoly powers : Some observers say that changes in the past few years have eroded the monopoly power of local cable tv companies, even if no other cable firms have entered their markets. What are these changes? Do these monopoly firms still have monopoly powers

How would entitlement spending be funded : 1. What would be true of entitlement spending rose to 100 percent and the federal budget was balanced? (Hint: Under a balanced budget, tax revenues equal the sum of discretionary expenditures.) 2.How would entitlement spending be funded if ta..

Describe the structure of church membership : Describe the structure of church membership and the requirements for leadership that are presented in the Pastoral Letters. How do these letters promote different views of the church than found in Pauline theology?

User Account

All Pages