Exam 20: Earnings, Unions and Discrimination

A compensating differential means that:

The fact that wage differentials continue to exist across different groups of workers has led economists to believe that:

Market discrimination is evident when:

For a given wage, which of the following statements is true?

Compensating differentials are differences in wages that arise from non-monetary characteristics of different jobs.

If education is a signalling device for high ability, employers will offer higher wages to educated workers.

Are unions good or bad for the economy?

The human capital view of education is that it:

Suppose John was very skilled at developing film into photos. John however, lacks the skills to process digital photos because he knows little about computers. Most amateur photographers now use digital cameras. This means it is very likely that John's wage will fall because of:

A prestigious private high school requires all of its teachers to have a PhD in the subject they teach. This requirement is likely to:

Employers may discriminate because of asymmetric information about the quality of workers.

What is most likely to cause a decrease in demand for unskilled labour in Australia?

A likely consequence of implementing comparable worth proposals is that it would lead to:

According to the economist Roback, the early 20th century:

Suppose an employer sorts employment applicants into high-ability and low-ability groups, based on whether they have a university degree. If the employer considers that the major of an applicant is irrelevant, then the employer is likely to be:

Which of the following theories suggests that education makes workers more productive and therefore able to earn a higher wage?

A recent study of the determinants of wages for clerical staff at a university found that years of schooling, years of experience, age and job characteristics only explained about one half of the difference in wages. Describe other factors that may be important in explaining wage differences for clerical staff. In your answer, explain how you would measure these factors for use in empirical analysis.

When computers are used to replace workers on a factory production line, the wage gap:

Professional cricket players have very large differences in the salaries that is best explained by:

One of the reasons that movie stars have extraordinarily high incomes is that: