https//newconnect.mheducation.com/flow/connect html cle & Inflation Homework Sav

ID: 1138034 • Letter: H

Question

https//newconnect.mheducation.com/flow/connect html cle & Inflation Homework Saved Help Save & Exit Subm Check my work The table below lists hypothetical CPl and wage values for the United States from different decades. a. Complete the table by computing the real income for each year shown in the table. Instructions: Round your answers to two decimal places. Nominal and Real Income Average Nominal Wage (dollars) $7,227 13,988 26,765 38,191 50,749 53,588 Average Real Wage (dollars) Year 1967 1977 1987 1997 007 2813 CPI 4.3 61.8 116.3 164.7 212.1 238.7 Instructions: Enter the year using all four numbers (wwy). b. Of the years listed above, the paycheck of the average worker was highest in C. Of the years listed above, the purchasing power of the average worker was highest in e here to search 1-N-1-Ni-N-i-n

Explanation / Answer

Year

Average Nominal Wage

CPI

Average Real Wage

1967

7,227

34.3

21,069.97

1977

13,988

61.8

22,634.30

1987

26,765

116.3

23,013.76

1997

38,191

164.7

23,188.22

2007

50,749

212.1

23,926.92

2013

53,588

238.7

22,449.94

2) The paycheck of the worker was highest in 2013

Explanation: The highest amount of average nominal wage is paid in Year-2013

3) The purchasing power of the worker was highest in 2007

Explanation: The highest amount of average real wage is paid in Year-2007