Assume that workers are of the same race and either male or female.Male and female workers possess the same stock of human capital and hence they are equally productive.The wage rate is $10 per hour for male workers and $9 per hour for female workers.
-Refer to the information above.Firms that do not practice employer discrimination,i.e. ,are willing to hire female workers,will
A) suffer lower productivity.
B) be as profitable as the firms with only male workers.
C) earn a larger profit,or a smaller loss,compared to the firms with only male workers.
D) earn a smaller profit,or a larger loss,compared to the firms with only male workers.
E) enjoy greater productivity.
Correct Answer:
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