Which of the following is not an example of a market imperfection that might explain persistent wage differentials within an occupation?
A) geographic immobility of workers
B) discrimination
C) noncompeting groups
D) poor information about job opportunities and pay

Question

Quizplus · Accepted Answer

Noncompeting groups actually explain why wage differentials persist between different occupations, rather than within one occupation. Geographic immobility, discrimination, and poor information can all contribute to market imperfections that lead to persistent wage differentials within an occupation.

Which of the Following Is Not an Example of a Market