Assume That Empirical Evidence Shows a Difference in Mean Earnings

question 109

Multiple Choice

Assume that empirical evidence shows a difference in mean earnings between two groups, say, majority and minority workers. What conclusion may be drawn?

• A) The group with the lower earnings is being discriminated against.
• B) The group with the lower earnings is less productive.
• C) The group with the higher earnings has a larger quantity of human capital.
• D) Any of the above statements could, either partially or entirely, explain the difference in the mean earnings.

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Definitions:

Personal Assumptions

The presuppositions or beliefs one holds as true without empirical evidence, often influencing how they interpret situations and make decisions.

Position Power

The authority and influence a person possesses within an organization due to the rank or role they hold.

Influence Tactics

Strategies or actions designed to change the attitude or behavior of others in a particular direction.

Communication Policy

Guidelines and practices that govern how communication is conducted within an organization, including methods, privacy, and protocols.