In a competitive market, which of the following is least likely to be the source of a persistent discriminatory wage differential? a. The customer b. The government c. The employer d. All of the answer choices could be the source of a persistent discriminatory wage differential.
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While all the options could potentially contribute to discriminatory wage differentials, customers are often less likely to be a persistent source compared to employers or government regulations. Most consumers lean towards price and quality over discriminatory factors, though social norms and biases can spill over. Thus, persistent wage differentials tend to stem more from employer practices and governmental policies that enforce or ignore such disparities. Additionally, it’s vital to recognize the role of market dynamics in adjusting wages. In a competitive market, employers who practice discrimination might face difficulties finding suitable employees, since qualified candidates from underrepresented groups may offer their skills at lower wages, leading to an eventual equilibrium where discrimination is less viable. So, understanding market forces can help illuminate why some forms of discrimination persist longer than others.
