When an individual is judged by the characteristics of the groups to which he belongs rather than on his own characteristics,it is called

Question

Quizplus · Accepted Answer

Statistical discrimination occurs when an individual is judged based on the characteristics of the group(s) they belong to, rather than their individual characteristics. This can lead to unfair treatment and exclusion based on factors such as race, gender, or age. Adverse selection refers to a situation where one party in a transaction has more information than the other, while the lemons model refers to a market where sellers with inferior products drive out those with superior products. It is illegal to discriminate on the basis of certain protected characteristics, so D is not a viable option. E is not relevant to the given scenario.

When an Individual Is Judged by the Characteristics of the Groups