A COLA automatically raises the wage when
A)GDP increases.
B)taxes increase.
C)the consumer price index increases.
D)the producer price index increases.

Question

Quizplus · Accepted Answer

A COLA (Cost of Living Adjustment) is typically tied to the consumer price index (CPI), which measures the average price of a basket of goods and services. When the CPI increases, the COLA automatically raises wages to keep pace with the rising cost of living.

A COLA Automatically Raises the Wage When