Describe the audit method of detecting discrimination
What will be an ideal response?
The audit method of detecting discrimination involves researchers faking identities for people who are essentially alike but differ in race, gender, or some other characteristic, deliberately placing these people in a position where they can be discriminated against, and observing whether there is a significant disagreement in how they are treated.
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In the economic way of thing, speculation could be effectively abolished if society could abolish
A) money. B) greed. C) profit seeking. D) private property rights. E) uncertainty.
Assume the economy is in recession and real GDP is below full employment. The marginal propensity to consume (MPC) is 0.90, and the government follows Keynesian economics by using expansionary fiscal policy to increase aggregate demand (total spending). If an increase of $1,000 billion aggregate demand can restore full employment, the government should:
a. increase spending by $100 billion. b. decrease spending by $790 billion. c. increase spending by $1,000 billion. d. increase spending by $250 billion.
Which of the following would cause the money supply in the United States to decrease?
A. an increase in reserve requirements B. a decrease in the discount rate C. a purchase of U.S. government bonds by the Federal Reserve D. an increase in the world supply of gold
Financial intermediaries are institutions that
A. oversee the activities of government institutions such as the Federal Reserve. B. regulate the activities of stock and bond markets. C. act as middlemen in the process of directing funds from savers to investors. D. produce money for the federal government.