Statistical discrimination is "rational" in the sense that it is consistent with profit maximization,
A. but if statistical evidence is used to exclusively hire or fire one race or another it is illegal.
B. and as a result it is illegal.
C. so it is weighed by the courts against how bad it looks.
D. and as a result it is legal.
Answer: A
You might also like to view...
Why is private ownership an important source of economic prosperity?
A) It eliminates the opportunity cost of using a resource. B) It allows owners to do anything they want with their property. C) It makes it possible for owners to ignore the desires of others without having to bear the cost. D) It provides owners with a strong incentive to develop and use assets in ways that others value highly.
If all firms have rational expectations and wages and prices are flexible, there will be
A. high unemployment because firms know the "true model." B. a shortage of labor because firms set their wage below the equilibrium wage rate. C. no unemployment. D. high unemployment because firms set their wages above the equilibrium wage rate.
All economists agree that the worldwide benefits of globalization are likely to be greater than the worldwide costs
Indicate whether the statement is true or false
Other things held constant, an increase in consumption spending implies