Real and nominal wages, Managerial Economics

Assignment Help:

Real and nominal wages

Wages are wanted only for what they will buy, real wages being wages in terms of the goods and services that can be bought with them.  Nominal wages are wages in terms of money, and the term money wages is perhaps to be preferred.  In determining nominal wages of people in different occupations; account must be taken of payments in kind, such as free uniform for policemen, railway workers and may others, free travel to and from work for those engaged in the passenger transport undertakings, the use of the car by some business executives, free board and lodging for some hotel workers and nurses.

" The labourer", say Adam Smith, "is rich or poor, is well or ill rewarded, in proportion to the real, not to the nominal price of his labour."


Related Discussions:- Real and nominal wages

Law of demand, explain the law of demand. briefly discuss the exception to ...

explain the law of demand. briefly discuss the exception to the law of demand

Homework, 1. What does a MNC have to consider that a domestic company does ...

1. What does a MNC have to consider that a domestic company does not, and how does this impact capital budgeting? in addition to the complications encountered in doing a capital bu

Factors affecting size of national income, Factors affecting the size of  N...

Factors affecting the size of  National Income The size of nation's income depends upon  the quantity and quality of the factor endowments at its disposal. A nation will be ri

Unit elasticity of supply, Unit Elasticity of Supply Supply is said to...

Unit Elasticity of Supply Supply is said to be of unit elasticity if changes in price bring about changes in quantity supplied in the same proportion.  Thus, when price rises,

Budget line and its economic interpretation, The Budget line and its econom...

The Budget line and its economic interpretation The indifference curve shows us consumer preferences but it does not show us the situation in the market place.  Here the consu

Elasticity, The acme paper company lowers its price of envelopes (1000 cou...

The acme paper company lowers its price of envelopes (1000 count) from $6to $5.40.

Public Debt, what are the Sources of public debt

what are the Sources of public debt

The spendthrift economy, The Spendthrift Economy This assumes a circul...

The Spendthrift Economy This assumes a circular flow of income in a closed economy with no Government sector and no foreign trade.   It also assumes the existence of two sect

Taxation, effects and implication of taxation in relation to managerial eco...

effects and implication of taxation in relation to managerial economics

two employees at a yearly rate, A profit-maximizing firm faces the followi...

A profit-maximizing firm faces the following options for hiring workers: a) Assume the firm has limited space so that it can only hire one worker. Which type of employee sh

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd