Suppose an employer is biased against African Americans. If his discrimination coefficient is $2, the employer will:
A. randomly hire African-American and white workers if the actual African-American-white
wage differential is more than $2.
B. randomly hire African-American and white workers if the actual African-American-white
wage differential is less than $2.
C. hire only African Americans if the actual African-American-white wage differential is less
than $2.
D. hire only whites if the actual African-American-white wage differential is less than $2.
Answer: D
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