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Business, 22.04.2020 04:05 sonicshon2

Johnâ Smith, a factory worker at an automobile plant in the cityâ Detrigan, makesâ $25 per hour. Hisâ dad, Larry Smith who retired from a plant in the same city ten yearsâ back, was earning an average ofâ $10 per hour at the time of retirement. Looking at theâ CPI, John concludes that a factoryâ worker's purchasing power is lower now compared to ten years ago.â Larry, however, does not agree that purchasing power has fallen. According toâ him, this conclusion cannot be drawn from such limited data. Which of the following, if true, would weaken John's claim that the average factory worker's purchasing power has fallen? A. The average wage of a factory worker rose faster than the average wages of other categories of workers in the last ten years. B. Although wages are higher in factories in Detrigan compared to other cities, the marginal productivity of a worker is also high. C. With the removal of import barriers last year, cheaper and better-quality goods are now available in the country. D. The statutory minimum wage was increased twice in the past ten years. E. The bargaining power of labor unions has increased over the years

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Johnâ Smith, a factory worker at an automobile plant in the cityâ Detrigan, makesâ $25 per hour. His...

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