Which of the Following Is an Example of Labor-Market Discrimination

question 241

Multiple Choice

Which of the following is an example of labor-market discrimination? You may assume that worker A and worker B have identical characteristics except for the ones listed. A firm offers a higher salary to worker A than worker B because worker A

• A)has more experience.
• B)is willing to travel two weeks out of each month, whereas worker B will not travel more than three nights a month.
• C)has a special certification that directly relates to her job, whereas worker B does not.
• D)is a young blonde woman, whereas worker B is an older, gray-haired man.

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Definitions:

Annual Returns

The percentage gain or loss on an investment over a one-year period.

Stock

Equity investment that represents ownership in a company and entitles the holder to a proportion of its profits.

Percentage Return

The increase or decrease in an investment, represented as a fraction of its initial cost and expressed as a percentage.

Preferred Stock

A type of stock that provides a fixed dividend that is paid before any dividends are paid to common stockholders and typically does not have voting rights.