Tim Hortons paid its line workers $14 per hour last year when the Consumer Price Index...

 

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Tim Hortons paid its line workers $14 per hour last year when the Consumer Price Index was 100. Suppose over the past year, deflation occurred and the aggregate price level fell to 80, Instructions: Round your answers to two decimal places. a. Tim Hortons must pay its workers $ b. Tim Hortons must pay its workers $ c. If Tim Hortons keeps the wage fixed at $14 per hour, in real terms, its workers get a [ this year in order to keep the real wage fixed at $14. this year if it wants to increase the real wage by 10 percent. % increase in real wages. Tim Hortons paid its line workers $14 per hour last year when the Consumer Price Index was 100. Suppose over the past year, deflation occurred and the aggregate price level fell to 80, Instructions: Round your answers to two decimal places. a. Tim Hortons must pay its workers $ b. Tim Hortons must pay its workers $ c. If Tim Hortons keeps the wage fixed at $14 per hour, in real terms, its workers get a [ this year in order to keep the real wage fixed at $14. this year if it wants to increase the real wage by 10 percent. % increase in real wages.

Answer rating: 100% (QA)

A To keep the real wage fixed at 14 Amount paid 14CPI this year CPI l... View the full answer