Discrimination by Customers Creates a Wage Differential Between Two Groups

question 54

Multiple Choice

Discrimination by customers creates a wage differential between two groups by creating a difference in the two groups'

• A) supply of labor.
• B) value of marginal product.
• C) marginal cost of labor.
• D) minimum wage.
• E) opportunity cost of acquiring skills.

---

Definitions:

Pay Off

To complete the payment of a debt, thereby fulfilling a financial obligation.

Compounded Semi-Annually

Interest on a loan or investment calculated twice a year on the initial principal and previously earned interest.

Amortized

The process of paying off debt through regular payments over a period, which includes both principal and interest.

Compounded Monthly

The frequent calculation and addition of interest to an investment or debt balance each month.