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According to the conservative theory, wage inequality is necessary because ______.

A. it is a condition created by the labor market
B. there is an overall decline in the world's economy
C. technological innovation has not produced the desired result
D. the number of people on welfare has decreased

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According to the passage, Galbraith's book ______.

A. is devoted to analyzing why economic boom usually goes with wage inequality
B. reviews the dominant neoclassical economic discourse of our time
C. recommend resolving the present problem by neoconservative social policy
D. attributes the present increasing wage inequality to several factors

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To which of the following statements would Galbraith agree？

A. The new skill-based technological innovation initiates the present wage inequality.
B. The maintenance of wage inequality is necessary to fighting inflation.
C. Worldwide competition entails an increase in wage inequality.
D. Transfer payment to the rich has made the rich even richer.

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From the passage, we can conclude that ______.

A. it will be impossible for wind and solar energy to completely replace fossil fuels
B. high technology plays a vital role in the trend toward clean energy
C. the 'development of a nation will inevitably pollute the environment
D. poor areas are badly polluted and are in high need of renewable energy

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This contradiction is not easily explained by the dominant neoclassical economic discourse of our time. Nor is it resolved by neoconservative social policy. More helpful is the one book under review: James K. Galbraith's Created Unequal, a Keynesian analysis of increasing wage inequality.
James K. Galbraith provides a multicausal analysis that blames the current free market monetary policy for the increasing wage inequality. He calls for a rebellion in economic analysis and policy and for a reapplication of Keynesian macroeconomics to solve the problem. In Created Unequal, Galbraith successfully debunks the conservative contention that wage inequality is necessary because the new skill-based technological innovation requires educated workers who are in short supply. For Galbraith, this is a fantasy. He also critiques their two other assertions: first, that global competition requires an increase in inequality and that the maintenance of inequality is necessary to fight inflation. He points to transfer payments that are mediated by the state: payment to the poor in the form. of welfare is minor relative to payment to the elderly in the form. of social security or to the rich in the form. of interest on public and private debt.
Galbraith minimizes the social indicators of race, gender, and class and tells us that these are not important in understanding wage inequality. What is important is Keynesian macroeconomics. To make this point, he introduces a sectoral analysis of the economy.. Here knowledge is dominant (the K-sector) and the producers of consumption goods (the C-sector) are in decline. The third sector is large and low paid (the S-sector). The K-sector controls the new technologies and wields monopoly power. Both wages and profit decline in the other two sectors. As a result of monopoly, power inequality increases.
The author accuses President Clinton of ______.

A. being too optimistic about the economic prosperity
B. lying about the economic situation to the public
C. increasing the number of people on welfare
D. being reluctant to raise the salary of the average people

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According to the conservative theory, wage inequality is necessary because ______.

A. it is a condition created by the labor market B. there is an overall decline in the world's economy C. technological innovation has not produced the desired result D. the number of people on welfare has decreased

According to the passage, Galbraith's book ______.

To which of the following statements would Galbraith agree？

From the passage, we can conclude that ______.

A. it is a condition created by the labor market
B. there is an overall decline in the world's economy
C. technological innovation has not produced the desired result
D. the number of people on welfare has decreased