Monday, February 29, 2016

Unit III ( Nominal Wages, Real Wages, Sticky Wages)

-Nominal wages: amount of money received by a worker per unit of time 

-Real wages: amount of goods and services a worker can purchase with their nominal wages 
-"purchasing power of nominal wages"

-Sticky wages: Nominal wage level is set according to an initial price level and does not vary due to labor contracts or other restrictions

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