Scenario 19-5 Billy Works for the Local Piano Moving Company Part-Time After

question 61

Multiple Choice

Scenario 19-5
Billy works for the local piano moving company part-time after school. Billy has worked for the company for two years but still hasn't received a wage increase, even though newer employees have received raises. Billy has threatened his employer with a lawsuit if he doesn't get a raise in the next few weeks. Billy believes he is a victim of labor-market discrimination.
-Refer to Scenario 19-5.Why might an economist be skeptical of Billy's discrimination complaint?

• A) Through antitrust laws, discriminating firms can be penalized with large fees.
• B) In a competitive market, employers pay employees based on their value to the firm.
• C) Discrimination leads to profit maximization.
• D) Only cost minimizers practice discrimination.

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Definitions:

Homosexual

Pertaining to or characterized by a sexual attraction towards members of one's own sex.

Binary Classifications

A system that divides objects, concepts, or people into two distinct and mutually exclusive groups.

Gender Norms

Socially constructed roles, behaviors, activities, and attributes that a given society considers appropriate for men and women.

First Grade

The initial grade of primary education in many educational systems, following kindergarten and before second grade, typically involving students aged six to seven.