In the Presence of Discrimination by Customers

question 185

Multiple Choice

In the presence of discrimination by customers,

• A)market forces nevertheless always work to prevent discriminatory wage differentials.
• B)discriminatory wage differentials can exist, but only if firms refrain from maximizing their profits.
• C)discriminatory wage differentials can exist, but only if government reinforces customers' practices by passing laws that mandate discrimination.
• D)discriminatory wage differentials can exist, even in the absence of discriminatory practices by firms or by government.

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Definitions:

Insolvent

A financial state in which an individual or entity cannot meet their debt obligations as they come due because their liabilities exceed their assets.

Complex Social Dynamic

The multifaceted and intricate interplay of forces and factors that influence the behavior of individuals within a social context.

Leadership

The action of leading a group of people or an organization, or the ability to do this, which involves establishing a clear vision, sharing that vision with others so they will follow willingly, providing information, knowledge, and methods to realize that vision.

Power

The ability or capacity to influence or control the behavior of others or the course of events.