Statistical Discrimination

question 177

Multiple Choice

Statistical discrimination

• A) can persist in the long run if differences in average characteristics among groups continue.
• B) will tend to diminish in the long run because nondiscriminating firms will drive out discriminating firms.
• C) requires that employers have discrimination coefficients greater than zero.
• D) is also known as occupational segregation.

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Definitions:

Group Norm

Shared standards, rules, or expectations that influence behavior within a group of people.

Object of Judgement

The entity or individual that is being evaluated or assessed in a particular situation.

Autokinetic Experiment

A psychological experiment where a stationary point of light in a dark room appears to move because of small eye movements, illustrating the effect of suggestion or social influence on beliefs.

Frame of Reference

A system of values or beliefs against which judgments are made or a context through which a situation can be viewed.