There are 100 white male applicants for the job and 60 were selected.There were 20 African American male applicants for the job and 10 were selected.Is there evidence for disparate impact against African Americans based on the 4/5ths rule?

Question

Quizplus · Accepted Answer

The 4/5ths rule states that a selection rate for any race, sex, or ethnic group which is less than four-fifths (or 80%) of the rate for the group with the highest rate will generally be regarded as evidence of adverse impact. The hiring rate for white males is 60/100 = 60%, and for African American males, it is 10/20 = 50%. Since 50% is more than 80% of 60% (which is 48%), the hiring rate for African American males is within 80% of the rate for white males, thus not indicating disparate impact based on the 4/5ths rule.

There Are 100 White Male Applicants for the Job and 60