Multiple Choice
Why would a wage differential due to discrimination be unlikely to persist in a competitive labor market?
A) There is a cost advantage for firms that do not discriminate.
B) Workers who are victims of discrimination will eventually drop out of the labor market.
C) Competing firms will hire fewer of the workers who are temporarily victimized by discrimination.
D) Discrimination cannot exist in markets.
Correct Answer:
Verified
Correct Answer:
Verified
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