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In 2018 Dave's salary was $50,000

Economics

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In 2018 Dave's salary was $50,000.

In 2019 his salary was 2% higher, $51,000.

If inflation between 2018 and 2019 was 3%, which of the following is true?

Group of answer choices

Dave's nominal and real income increased from 2018 to 2019.

Dave's nominal and real income decreased from 2018 to 2019.

Dave's nominal income increased but his real income decreased from 2018 to 2019.

Dave's real income increased but his nominal income decreased from 2018 to 2019.