Question 1

In the United States, the unemployment rate for women is typically ________ than it is for men, and the typical woman earns ________ than typical man earns.

Accepted Answer

Historically, the unemployment rate for women in the U.S. has often been lower than for men, and women typically earn less than men, reflecting the gender pay gap.

Question 2

In the United States, the typical woman earns about ________ of what the typical man earns.

Accepted Answer

As of my last update in 2023, women in the United States typically earn about 80% of what men earn. This statistic is often cited in discussions about gender pay inequality.

Question 3

In the United States for people age 16 to 24, the typical woman earns about ________ of what the typical man earns.

Accepted Answer

For people aged 16 to 24 in the United States, the typical woman earns about 90% of what the typical man earns. This figure reflects a narrower gender pay gap among younger workers compared to the overall workforce.

Question 4

Which of the following statements is true?

Accepted Answer

Studies have shown that moderate alcohol consumption is often associated with higher earnings, possibly due to social networking opportunities.

Question 5

Rewarding or penalizing personal characteristics of a worker that are unrelated to his or her productivity is a description of

Accepted Answer

Labor market discrimination involves treating workers differently based on personal characteristics unrelated to their productivity, such as race, gender, or age, rather than their skills or performance.

Question 6

Discrimination that occurs because the discriminator dislikes another person's gender, race, or some other personal characteristic is known as

Accepted Answer

Taste-based discrimination refers to bias driven by personal prejudice against a group, such as disliking someone based on their gender or race.

Question 7

Which of the following least resembles a case of taste-based discrimination?

Accepted Answer

B is the least like taste-based discrimination because it is based on a stereotype about a group's behavior (young people being lazy and irresponsible) rather than a personal dislike or prejudice against a group's inherent characteristics (such as hair color, nationality, or gender).

Question 8

Which of the following most resembles a case of taste-based discrimination?

Accepted Answer

Taste-based discrimination refers to biases or prejudices against certain groups of people based on personal preferences rather than job qualifications or performance. In this case, Austin's refusal to hire bald-headed men due to a personal dislike exemplifies taste-based discrimination, as it is based on an irrational prejudice rather than any job-related criteria.

Question 9

Discrimination that occurs when someone assigns the properties of a group to a particular individual who is a member of that group is known as

Accepted Answer

Statistical discrimination occurs when assumptions are made about an individual based on group characteristics, rather than on the individual's own merits or abilities.

Question 10

Which of the following least resembles a case of statistical discrimination?

Accepted Answer

C) is the correct answer because it is based on personal bias rather than statistical or empirical evidence, which is what statistical discrimination involves.

Question 11

Which of the following most resembles a case of statistical discrimination?

Accepted Answer

Statistical discrimination involves making decisions based on assumptions or stereotypes about groups rather than individuals. In choice C, Barney is assuming that all individuals who attended public schools have better social skills than those who were home-schooled, which is a classic example of statistical discrimination.

Question 12

From a social standpoint, the immediate effect of discrimination is that society ________ the talents and abilities at its disposal, and this makes everybody ________, on average.

Accepted Answer

Discrimination leads to a failure to utilize the full range of talents and abilities within a society, which in turn results in a decrease in collective wealth and well-being, making everyone poorer on average.

Question 13

Discrimination occurs when an employer hires a member of one group when another applicant, who is a member of a different group with different characteristics, has better qualifications and is likely to be more productive.

Accepted Answer

Discrimination in this context refers to the unfair treatment of an individual or group based on characteristics such as race, gender, age, etc., rather than on merit or qualifications. When an employer hires someone based on their group membership rather than their qualifications or potential productivity, it constitutes discrimination.

Question 14

If hiring a minority would drive away customers, then discriminating against that minority might increase profits for the business that is doing the hiring.

Accepted Answer

While morally and ethically wrong, and illegal in many jurisdictions, from a purely economic perspective, if a business's customer base discriminates against a minority and would stop patronizing the business if a member of that minority were hired, the business might see a temporary increase in profits due to maintaining its customer base. However, this does not justify discrimination and overlooks long-term reputational damage and legal consequences.

Question 15

Compared to a firm that does not statistically discriminate but has equally poor information about the true qualifications of potential employees, the firm that does statistically discriminate is likely to be less profitable rather than more profitable.

Accepted Answer

Statistical discrimination, while ethically and legally problematic, can in some contexts allow firms to make more informed hiring decisions based on group averages when individual information is lacking, potentially leading to more profitable outcomes compared to firms that do not use any form of discrimination and thus may make less informed hiring decisions.

Question 16

Discrimination that occurs because someone does not like a personal characteristic of another person is called ________, and discrimination that occurs because someone assigns the properties of a group to an individual who is a member of that group is called ________.

Accepted Answer

The answer of Discrimination that occurs because someone does not...

Question 17

Explain how a business owner who continually practices taste-based discrimination may eventually pay for his decision to discriminate in terms of declining productivity and profits, especially if he is in a highly competitive industry.

Accepted Answer

The answer of Explain how a business owner who continually...

Question 18

Explain the negative long-term effects that statistical discrimination in the labor market can have on the incentives to invest in education and skills.

Accepted Answer

The answer of Explain the negative long-term effects that statistical...

Question 19

A method of detecting discrimination that involves researchers faking identities for people who are essentially alike but but differ in race, gender, or some other characteristic is called

Accepted Answer

The audit method involves researchers creating similar profiles for individuals who only differ in one characteristic, such as race or gender, to test for discrimination in hiring, housing, or other areas. This method helps to isolate the effect of that one characteristic on outcomes.

Question 20

In the research that used the audit method to send 38 people to purchase new cars from car dealers in Chicago, the lowest prices were quoted to

Accepted Answer

White men were quoted the lowest prices in the study, highlighting potential racial and gender biases in pricing strategies.

Quiz 15: Segregation and Discrimination

In the United States, the unemployment rate for women is typically than it is for men, and the typical woman earns than typical man earns.