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could you please help me with this question? and explain it Consider a country that has experienced a decline in labor demand that results in

could you please help me with this question? and explain it

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Consider a country that has experienced a decline in labor demand that results in a 2 percent reduction in the equilibrium real wage. at If the inflation rate in the country has been at zero percent, what has to happen to the nominal wage to restore labor market equilibrium? 0 The nominal wage will increase by 2%. O The nominal wage will decrease by more than 2%. O The nominal wage will not change. The nominal wage will decrease by 2%. b. lfthe inflation rate in the country has been at 4 percent. what has to happen to the nominal wage to restore labor market equilibrium? 0 The nominal wage will not change. 0 The nominal wage will decrease by more than 2%. iQiThe nominal wage will increase by 2%. O The nominal wage will decrease by 2%. Which of the following is true? Which of the following is true? 0 Workers and employers are likely to prefer a zero percent inflation rate because nominal wages will be higher. 0 Workers and employers are likely to prefer a four percent inflation rate because nominal wages will be higher. 0 Workers will prefer zero percent inflation and employers will prefer four percent inflation. 0 Workers will prefer four percent inflation and employers will prefer zero percent inflation

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