Ask Question
BusinessBusiness
23 August, 01:04

For a person to keep his real income steady at a certain level from one year to the next, his nominal income must Multiple Choice

1. rise if the price index falls.

2. stay the same as the price index rises.

3. fall if the price index rises.

4. rise as fast as the price index.

+1
Answers (1)
  1. 23 August, 02:57
    0
    3. fall if the price index rises.

    Explanation:

    According to the nominal income, the inflation is a one of the major factors that decrease the amount of the goods and the services that would be afforded with a given amount of the nominal incomes thus if the person wants to keep this real income steady for the next year's nominal income may fall as the increase of the inflation in the economy. And can erode the nominal income gains.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “For a person to keep his real income steady at a certain level from one year to the next, his nominal income must Multiple Choice 1. rise ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
The income statement for the Sage Hill Inc. for the month ended July 31 shows Service Revenue $17,470, Salaries and Wages Expense $8,870, Maintenance and Repairs Expense $3,370, and Income Tax Expense $1,470.
Answers (1)
What is the best thing to do to keep myself occupied?
Answers (2)
The price elasticity of demand if the price of a pint falls from $8 to $6 is
Answers (1)
What makes up the organization's mission, policies, procedures, and also forms a hierarchy that dictates the purpose of the organization?
Answers (1)
When you use the direct organizational plan for a routine message, you present the details before the primary idea?
Answers (1)
New Questions in Business
You plan to borrow $ 2 comma 000 from a bank. In exchange for $ 2 comma 000 today, you promise to pay $ 2 comma 100 in one year. What does the cash flow timeline look like from your perspective? What does it look like from the bank's perspective?
Answers (1)
Which of the following is indicative of a short-term restrictive financial policy? a) purchasing inventory only as needed b) granting credit to more customers c) increased investment in marketable securities d) maintaining a large accounts
Answers (2)
You are employed as an administrative staff member of a community healthcare office that just opened last month. you and your manager are working hard to advertise and expand the customer base.
Answers (1)
The following costs result from the production and sale of 4,450 drum sets manufactured by Tight Drums Company for the year ended December 31, 2019. The drum sets sell for $295 each. The company has a 30% income tax rate.
Answers (1)
The person who receives financial protection from a life insurance plan is called a what?
Answers (1)
Home » Business » For a person to keep his real income steady at a certain level from one year to the next, his nominal income must Multiple Choice 1. rise if the price index falls. 2. stay the same as the price index rises. 3. fall if the price index rises. 4.
Sign Up Forgot Password?