A Labor Union Had Once Been Whites Only but Is

question 240

Multiple Choice

A labor union had once been whites only but is now integrated. Its membership rules used to state that to obtain employment through the union you had to be related to or recommended by a union member. Such a rule would now be:

• A) not illegal because segregation had been eliminated
• B) not illegal because Title VII does not apply to unions
• C) illegal because blacks who entered the union would be junior to whites in seniority
• D) illegal because it would perpetuate past intentional discrimination
• E) none of the other choices

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Definitions:

Hedge Funds

Investment funds that employ various strategies to earn active return, or alpha, for their investors, often requiring a large initial minimum investment and offering less regulation.

Market-Neutral

Market-neutral is an investment strategy or portfolio designed to neutralize certain market risks by taking offsetting positions, aiming to achieve returns largely independent of the overall market movement.

Risky

Involving exposure to danger or financial loss probabilities.

Financial Intermediary

An intermediary that buys securities with funds that it obtains by issuing its own securities. An example is a common stock mutual fundthat buys common stocks with funds obtained by issuingshares in the mutual fund.