The following figure depicts a specific firm's production with respect to the number of machine used.

-Refer to Charles and Guryan's study of wage data reported in Evidence-Based Economics segment in the textbook.They have found that there is a gap in wages between African-Americans and Caucasian-Americans.
a)How much of the gap is attributed to discrimination?
b)What other factors did the economists consider as possible causes for the gap? Why is it important to consider other factors?
c)Is the discrimination found in the study taste-based or statistical?

Question

The following figure depicts a specific firm's production with respect to the number of machine used.
 
-Refer to Charles and Guryan's study of wage data reported in Evidence-Based Economics segment in the textbook.They have found that there is a gap in wages between African-Americans and Caucasian-Americans.
a)How much of the gap is attributed to discrimination?
b)What other factors did the economists consider as possible causes for the gap? Why is it important to consider other factors?
c)Is the discrimination found in the study taste-based or statistical?

Quizplus · Accepted Answer

The Answer of The following figure depicts a specific firm's production with respect to the number of machine used.
 
-Refer to Charles and Guryan's study of wage data reported in Evidence-Based Economics segment in the textbook.They have found that there is a gap in wages between African-Americans and Caucasian-Americans.
a)How much of the gap is attributed to discrimination?
b)What other factors did the economists consider as possible causes for the gap? Why is it important to consider other factors?
c)Is the discrimination found in the study taste-based or statistical?

The Following Figure Depicts a Specific Firm's Production with Respect