“I’d rather have a 1% pay cut when prices fall by 3% than a 5% pay increase when the rate of inflati… Show more “I’d rather have a 1% pay cut when prices fall by 3% than a 5% pay increase when the rate of inflation is 8%.” This is an example of: A. Irrationality B. Rising real wage C. Deflation always being better than inflation D. Excessive aggregate demand • Show less