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Principles of Economics Study Set 8
Quiz 19: Earnings and Discrimination
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Question 101
Short Answer
Many studies of wage discrimination have been conducted on professional sports teams. This industry is easier to study than others because the professional teams have many objective measures of
Question 102
Short Answer
Figure 19-8
-Refer to Figure 19-8. The figure shows labor demand and labor supply in a non-unionized labor market. If the current labor demand is D1 and the current labor supply is S1, when a minimum wage of $18 per hour is imposed in this market, how many unemployed workers result?
Question 103
Short Answer
Scenario 19-7 Suppose that in the competitive market for auto repair, firms prefer to hire men rather than women. Assume that the women applying for positions have the same skills, experience, and work ethic as the men. As a result of this discrimination, the demand for women is lower than it otherwise would be. -Refer to Scenario 19-7. What conclusion can you draw about women's wages compared to men's wages in this industry?
Question 104
Short Answer
Most of the time, a profit motive eliminates discriminatory behavior from a market; however, a discriminatory wage gap can persist even if the firm owners only care about profit if there is
Question 105
Essay
Is measuring the effect of discrimination on wages relatively easy or relatively difficult? Explain?
Question 106
Short Answer
What is the term for offering different opportunities to similar individuals who differ only by race, ethnic group, sex, age, or other personal characteristics?
Question 107
Essay
Studies show that white women earn approximately 25% less than white men. From this data alone, one should not conclude that white women are victims of discrimination. Name two other factors that could explain the difference in wages.
Question 108
Essay
Some economists argue that changes in U.S. trade flows have altered the gap between wages of skilled and unskilled workers. Explain.
Question 109
Short Answer
Scenario 19-7 Suppose that in the competitive market for auto repair, firms prefer to hire men rather than women. Assume that the women applying for positions have the same skills, experience, and work ethic as the men. As a result of this discrimination, the demand for women is lower than it otherwise would be. -Refer to Scenario 19-7. Suppose that consumers prefer to have men work on their auto repairs and are willing to pay higher prices to accommodate these preferences. What will happen to the wage differential between men and women?
Question 110
Essay
On average professors of finance earn more than professors of economics. Other things the same, what does this imply about the supply of each type of professor?
Question 111
Short Answer
Figure 19-8
-Refer to Figure 19-8. The figure shows labor demand and labor supply in a non-unionized labor market. Suppose the current labor demand is D1 and the current labor supply is S1. If a firm in this market decided to pay its workers $18 per hour to increase the productivity of its workers, this firm would be paying a(n)
Question 112
Short Answer
Among male workers over age 25, about what percent has a college degree? What is this percentage for black male workers over age 25?
Question 113
Essay
Scenario 19-7 Suppose that in the competitive market for auto repair, firms prefer to hire men rather than women. Assume that the women applying for positions have the same skills, experience, and work ethic as the men. As a result of this discrimination, the demand for women is lower than it otherwise would be. -Refer to Scenario 19-7. If the firms in this market are profit-maximizers and customers do not care if a woman or a man works on their car, what will likely happen?
Question 114
Short Answer
Many economists believe that competitive, market economies provide a natural antidote to employer discrimination known as the
Question 115
Short Answer
Economists typically explain occupational differences between men and women through preferences, ability, and discrimination. What additional factor did economists Muriel Niederle and Lise Vesterlund add to this list?