Question 1

One reason why better-looking workers may have higher earnings is that physical attractiveness may enhance a worker's productivity for certain jobs,especially for those workers who deal with the public.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following is an example of discrimination in the labor market?

Accepted Answer

A)  Women earn less than men because women are more likely to be employed in occupations that pay less, such as elementary school teachers rather than electrical engineers.
B)  Women earn less than men because women have, on average, fewer years of experience in the labor force because women, on average, periodically leave the labor force to raise children.
C)  A pharmaceutical sales company pays women less than men because the company's customers, physicians and pharmacists, say that they prefer to deal with men rather than women.
D)  All of the above are correct.E) A) and B)
F) A) and D)

Question 3

Scenario 19-1
Ferris B., a student at a community college, is considering what he should do for summer employment. Two recruiters show up at his school in search of summer workers. Recruiter A is looking for lifeguards to patrol the beach at an exclusive island resort in the Caribbean. Recruiter B is looking for workers to staff positions at a summer youth camp.
-Refer to Scenario 19-1.Ferris is carefully considering the options that each recruiter presents.On the basis of knowledge obtained in his economics class,Ferris concludes that

Accepted Answer

A)  wages are unlikely to be affected by job requirements.
B)  since the lifeguard job would expose him to a threat of skin cancer, the wage will be low.
C)  if the lifeguard job has a requirement for special training or certification, the wage offer will be higher than otherwise.
D)  if the lifeguard job also requires a willingness to clean public restrooms, the wage offer will be lower than otherwise.E) A) and B)
F) B) and D)

Question 4

Business firms that pay salespeople a percentage of the sales they make are attempting to reward

Accepted Answer

A)  work effort.
B)  loyalty to the firm.
C)  years of schooling.
D)  years of experience.E) A) and D)
F) A) and C)

Question 5

In the early twentieth century,streetcars in many southern cities were segregated by race.This racial segregation was the result of

Accepted Answer

A)  laws that required such segregation.
B)  long-standing southern traditions about which the law was silent.
C)  streetcar firms trying to maximize profits.
D)  streetcar firms trying to minimize costs.E) A) and D)
F) A) and B)

Question 6

Scenario 19-2
Travis, a student at a community college, is considering what he should do for summer employment. Two recruiters show up at his school in search of summer workers. Recruiter A is looking for workers to help a disaster relief agency distribute food aid in Africa. Recruiter B is looking for custodial help to clean motel rooms in a motel located near the entrance to a famous national park.
-Refer to Scenario 19-2.Travis is carefully considering the options that each recruiter presents.On the basis of knowledge obtained in his economics class,Travis concludes that

Accepted Answer

A)  if the motel job requires some night shift work, wages will be lower than otherwise.
B)  the job that is more fun will have a higher wage.
C)  if the motel job doesn't require any special skills, the wage offer will be lower than otherwise.
D)  All of the above are correct.E) None of the above
F) A) and B)

Question 7

The signaling theory of education maintains that workers who complete specific levels of education enhance their productivity through education.

Accepted Answer

A) True 
 B)False

Question 8

The return to investment in human capital is observed

Accepted Answer

A)  only when workers are assigned identical tasks.
B)  in the wage differential between workers.
C)  in the high school dropout rate in inner-city urban school districts.
D)  in the low wages of educated factory workers.E) B) and D)
F) All of the above

Question 9

Labor unions will raise the quantity of labor demanded.

Accepted Answer

A) True 
 B)False

Question 10

When comparing average wages for male and female workers in the United States,wages paid to females have been about 40 percent less than those paid to male workers.

Accepted Answer

A) True 
 B)False

Question 11

The example of segregated streetcars in the southern United States in the early twentieth century is one example of

Accepted Answer

A)  racial discrimination by firms, despite government efforts to halt it.
B)  racial discrimination by firms with no government action either to halt it or to support it.
C)  government-mandated racial discrimination.
D)  a failure to find any discrimination where most would expect to find it.E) A) and C)
F) A) and B)

Question 12

In a recent U.S.presidential campaign,a lobbyist for a prominent national women's organization made the claim that women in the United States earn $0.60 for every $1.00 earned by a man.A reporter,who was prepared for this statement,asked the lobbyist why wages paid to the organization's secretarial staff (all of whom were women)were significantly below the national average if they were truly interested in raising the rates of compensation for women.If you were the lobbyist,how would you have answered this question? Do you think your answer is convincing? Explain.

Accepted Answer

The lobbyist would likely respond by cit...

Question 13

When computers are used to replace workers on a factory production line,the wage gap between skilled and unskilled workers

Accepted Answer

A)  will increase only if the company can increase the price of its product.
B)  is likely to increase.
C)  is likely to decrease.
D)  will not change.E) None of the above
F) C) and D)

Question 14

The statement that "professors are paid less than lawyers despite having similar amounts of education" is likely to reflect market conditions such that

Accepted Answer

A)  education is not likely to be related to compensation.
B)  professors receive lower wages because other aspects of their jobs are more pleasant.
C)  the jobs of doctors and lawyers provide more job satisfaction than the jobs of professors.
D)  All of the above are correct.E) All of the above
F) C) and D)

Question 15

Since 1995,global manufacturing employment has declined,yet global industrial output has risen.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following explains the "beauty premium" differences in wages?

Accepted Answer

A)  People who spend time on their personal appearance may send a signal that they are more productive workers.
B)  Personal appearance and intelligence are inversely related.
C)  The "superstar phenomenon" explains the "beauty premium."
D)  Better-looking people are more efficient; thus, they are paid an efficiency wage.E) All of the above
F) A) and D)

Question 17

Which of the following statements is not correct?

Accepted Answer

A)  The U.S.is experiencing an increase in the types of jobs where workers identify and solve new problems.The wages for these jobs are also rising.
B)  The U.S.is experiencing an increase in personal service jobs.The wages for these jobs are also rising.
C)  Technological advancements have replaced many routine jobs such as bank tellers and telephone operators.
D)  Manufacturing employment has decreased world-wide.E) A) and D)
F) A) and C)

Question 18

When employers sort employment applications into high-ability and low-ability people based on the attainment of a college degree (irrespective of major) ,they are providing evidence in support of the

Accepted Answer

A)  human-capital theory of education.
B)  signaling theory of education.
C)  principle that education enhances marginal productivity.
D)  principle that most business owners are more interested in discriminating against a particular group than in maximizing profits.E) C) and D)
F) A) and B)

Question 19

The statement that "night shift workers make a higher wage than day shift workers" is likely to reflect the fact that

Accepted Answer

A)  most people's preference is to work the day shift.
B)  some people prefer to work a night shift for nonmonetary reasons.
C)  night shift jobs are generally more technically difficult.
D)  more women than men work the night shift.E) B) and D)
F) B) and C)

Question 20

Workers who work the night shift are often paid more than those who do identical work on the day shift.This is referred to as a

Accepted Answer

A)  discriminatory wage practice.
B)  compensating differential.
C)  wage inequity.
D)  a market inefficiency.E) All of the above
F) None of the above

Exam 19: Earnings and Discrimination

Correct Answer
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Correct Answer
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The return to investment in human capital is observed

Correct Answer
verified

Business firms that pay salespeople a percentage of the sales they make are attempting to reward

Correct Answer
verified

One reason why better-looking workers may have higher earnings is that physical attractiveness may enhance a worker's productivity for certain jobs,especially for those workers who deal with the public.

Correct Answer
verified

Which of the following is an example of discrimination in the labor market?

Correct Answer
verified

In the early twentieth century,streetcars in many southern cities were segregated by race.This racial segregation was the result of

Correct Answer
verified

Correct Answer
verified
The lobbyist would likely respond by cit...
View Answer

Labor unions will raise the quantity of labor demanded.

Correct Answer
verified

The statement that "night shift workers make a higher wage than day shift workers" is likely to reflect the fact that

Correct Answer
verified

Which of the following statements is not correct?

Correct Answer
verified

The example of segregated streetcars in the southern United States in the early twentieth century is one example of

Correct Answer
verified

When employers sort employment applications into high-ability and low-ability people based on the attainment of a college degree (irrespective of major) ,they are providing evidence in support of the

Correct Answer
verified

Workers who work the night shift are often paid more than those who do identical work on the day shift.This is referred to as a

Correct Answer
verified

Since 1995,global manufacturing employment has declined,yet global industrial output has risen.

Correct Answer
verified

When comparing average wages for male and female workers in the United States,wages paid to females have been about 40 percent less than those paid to male workers.

Correct Answer
verified

Which of the following explains the "beauty premium" differences in wages?

Correct Answer
verified

The signaling theory of education maintains that workers who complete specific levels of education enhance their productivity through education.

Correct Answer
verified

The statement that "professors are paid less than lawyers despite having similar amounts of education" is likely to reflect market conditions such that

Correct Answer
verified

When computers are used to replace workers on a factory production line,the wage gap between skilled and unskilled workers

Correct Answer
verified

Exam 19: Earnings and Discrimination

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

The return to investment in human capital is observed

Correct AnswerverifiedShow Answer

Business firms that pay salespeople a percentage of the sales they make are attempting to reward

Correct AnswerverifiedShow Answer

One reason why better-looking workers may have higher earnings is that physical attractiveness may enhance a worker's productivity for certain jobs,especially for those workers who deal with the public.

Correct AnswerverifiedShow Answer

Which of the following is an example of discrimination in the labor market?

Correct AnswerverifiedShow Answer

In the early twentieth century,streetcars in many southern cities were segregated by race.This racial segregation was the result of

Correct AnswerverifiedShow Answer

Correct AnswerverifiedThe lobbyist would likely respond by cit...View AnswerShow Answer

Labor unions will raise the quantity of labor demanded.

Correct AnswerverifiedShow Answer

The statement that "night shift workers make a higher wage than day shift workers" is likely to reflect the fact that

Correct AnswerverifiedShow Answer

Which of the following statements is not correct?

Correct AnswerverifiedShow Answer

The example of segregated streetcars in the southern United States in the early twentieth century is one example of

Correct AnswerverifiedShow Answer

When employers sort employment applications into high-ability and low-ability people based on the attainment of a college degree (irrespective of major) ,they are providing evidence in support of the

Correct AnswerverifiedShow Answer

Workers who work the night shift are often paid more than those who do identical work on the day shift.This is referred to as a

Correct AnswerverifiedShow Answer

Since 1995,global manufacturing employment has declined,yet global industrial output has risen.

Correct AnswerverifiedShow Answer

When comparing average wages for male and female workers in the United States,wages paid to females have been about 40 percent less than those paid to male workers.

Correct AnswerverifiedShow Answer

Which of the following explains the "beauty premium" differences in wages?

Correct AnswerverifiedShow Answer

The signaling theory of education maintains that workers who complete specific levels of education enhance their productivity through education.

Correct AnswerverifiedShow Answer

The statement that "professors are paid less than lawyers despite having similar amounts of education" is likely to reflect market conditions such that

Correct AnswerverifiedShow Answer

When computers are used to replace workers on a factory production line,the wage gap between skilled and unskilled workers

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
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Correct Answer
verified
The lobbyist would likely respond by cit...
View Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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