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10. "This suggests that wages play a game of catch-up, then fall behind for a while. But on the average, they advance about three percent a year, in real terms. We are still not far off this pace. The only trouble is that the economy is no longer productive enough to yield three percent average wage gains in real terms. If the cycle now goes into the catch-up phase, the demands for real gains to make up for the real losses of the past three years will collide with an economy going into at least a temporary stall." This stall happens because: a) real wages rise too much, creating inflation b) real wages rise too much, creating unemployment c) real wages fall too much, increasing the demand for labor and causing inflation d) real wages fall too much, lowering demand for goods and services and creating unemployment