Use the following to answer question(s): Discrimination

-(Exhibit: Discrimination) If blacks and whites have the same supply curve S, while blacks have demand curve D and whites have demand curve D', employment for blacks will be given by:
A) L - M.
B) L + M.
C) L.
D) M.

Question

Use the following to answer question(s): Discrimination
 
-(Exhibit: Discrimination) If blacks and whites have the same supply curve S, while blacks have demand curve D and whites have demand curve D', employment for blacks will be given by:
A) L - M. 
B) L + M. 
C) L. 
D) M.

Quizplus · Accepted Answer

If blacks and whites have the same supply curve and blacks have a lower demand curve than whites, it means that their equilibrium wage rate will be lower as compared to whites. This will lead to an increase in the demand for black workers' labor, resulting in an increase in their employment level. The increase in employment level will be denoted by the difference between the total demand for labor and the total supply of labor, given as L = (D + D') - S. Therefore, the answer is C, i.e., L.

Use the Following to Answer Question(s): Discrimination