Suppose Copernicus Corporation Hires Damon Danielson Rather Than Elmer Ellison

question 112

Multiple Choice

Suppose Copernicus Corporation hires Damon Danielson rather than Elmer Ellison, simply because Damon is a graduate of an Ivy League school, while Elmer is a graduate of a small public university. Elmer is actually more qualified than Damon. This is an example of

• A) statistical discrimination.
• B) irrational behavior.
• C) monopsony exploitation.
• D) human-capital discrimination.

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Definitions:

Operant Conditioning

A procedure in learning where the level of a particular behavior is tailored by means of encouragement or correction.

Voluntary Response

A behavioral or physical reaction that occurs as a result of a voluntary action in response to a stimulus.

Secondary Reinforcers

Stimuli that become reinforcing through their association with primary reinforcers; they do not satisfy biological needs but are learned, such as money or praise.

Primary Reinforcers

Fundamental stimuli that satisfy basic survival needs and are innately satisfying without prior learning.