Question 1

If a good is produced with technology that allows the best producer to supply every customer at a low cost and every customer in the market wants to enjoy the good supplied by the best producer, the best producer will be called a

Accepted Answer

The answer of If a good is produced with technology...

Question 2

Which theory states that education makes workers more productive?

Accepted Answer

human-capi...

Question 3

In recent years, the amount of international trade in which the United States engages has increased. Which of the following accurately describes the effect(s)  on labor demanded by firms in the United States?

Accepted Answer

A)   The demand for both skilled and unskilled labor has increased.
B)   The demand for both skilled and unskilled labor has decreased.
C)   The demand for skilled labor relative to unskilled labor has risen.
D)   The demand for unskilled labor relative to skilled labor has risen.E) All of the above
F) A) and B)

Question 4

Economists have found evidence that differences in wages can be explained by

Accepted Answer

A)   experience
B)   job characteristics
C)   physical attractiveness
D)   All of the above are correct.E) None of the above
F) B) and C)

Question 5

Which of the following factors affects the marginal productivity of a worker?

Accepted Answer

A)   human capital
B)   the worker's disposable income
C)   compensating wage differentials
D)   discrimination based on age, race, or genderE) A) and B)
F) A) and C)

Question 6

What is the term for offering different opportunities to similar individuals who differ only by race, ethnic group, sex, age, or other personal characteristics?

Accepted Answer

The answer of What is the term for offering different...

Question 7

About what proportion of the variation of wages across workers is explained by factors that can be measured? What are the other factors that explain wage differences but are difficult to measure?

Accepted Answer

About half. The othe...

Question 8

Evidence from a 1988 study of the market for professional basketball players

Accepted Answer

A)   found no evidence of consumer-driven wage discrimination.
B)   found some evidence of consumer-driven wage discrimination.
C)   found that measurement of marginal productivity was very difficult for basketball players.
D)   indicated that sports with strong player associations are unlikely to experience wage discrimination.E) A) and B)
F) A) and C)

Question 9

A computer is an example of human capital.

Accepted Answer

A) True 
 B)False

Question 10

According to the signaling view, education

Accepted Answer

A)   has no effect on lifetime earnings.
B)   alters work ethic.
C)   enhances productivity.
D)   is an indicator of natural ability.E) A) and B)
F) A) and C)

Question 11

A manager of a small firm who believes in the signaling theory of education would encourage her employees to obtain additional education to raise their on-the-job productivity.

Accepted Answer

A) True 
 B)False

Question 12

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 job in Africa has a lot of job satisfaction, the wage will be higher.
B)   if the job in Africa has a lot of job satisfaction, the wage will be lower.
C)   if the job cleaning motel rooms is miserable work, the wage will be lower.
D)   if the job cleaning motel rooms is not miserable work, the wage will be higher.E) None of the above
F) A) and C)

Question 13

Assuming that all other things are equal, including the wage, which of the following statements is correct?

Accepted Answer

A)   The quantity of labor supplied for difficult jobs exceeds that for easy jobs.
B)   The quantity of labor supplied for fun jobs exceeds that for dull jobs.
C)   The quantity of labor supplied for dangerous jobs exceeds that for safe jobs.
D)   All of the above are correct.E) A) and C)
F) C) and D)

Question 14

Major league baseball players get paid more than minor league baseball players because of

Accepted Answer

A)   compensating differentials.
B)   higher levels of educational attainment.
C)   greater abilities.
D)   All of the above are correct.E) B) and C)
F) All of the above

Question 15

Figure 19-6 
-Refer to Figure 19-6. Given demand, D1, and supply, S2, how much more do the workers with jobs earn per hour if a minimum wage of $8 per hour is imposed on this market?

Accepted Answer

The answer of Figure 19-6 
-Refer to Figure 19-6. Given...

Question 16

A company has two locations where it employs workers doing the same job and working the same hours. Other things the same most workers would prefer to live in location A, but location A has a higher cost of living than location B.

Accepted Answer

A)   The company likely needs to pay workers in location A more.
B)   The company likely needs to pay workers in location B more.
C)   It's not clear if the company would need to pay more to workers in location A or location c.
D)   The company must pay workers the same amount.E) C) and D)
F) None of the above

Question 17

Coal mining is a dangerous and dirty job. Suppose someone developed new machinery that made coal mining safer and cleaner; at the same time, suppose it made coal miners more productive. We would expect that the wages of coal miners would

Accepted Answer

A)   rise.
B)   fall.
C)   stay exactly the same.
D)   rise, fall, or stay the same.E) B) and C)
F) None of the above

Question 18

Discrimination by a manager in the hiring process may be consistent with the decision to maximize profits if

Accepted Answer

A)   customers are willing to pay higher prices in order to maintain the discrimination.
B)   the discrimination is based on race but not gender.
C)   the discrimination is based on gender but not race.
D)   Discrimination is never consistent with profit maximization.E) A) and D)
F) A) and C)

Question 19

Philip is an average contractor in town, and he earns $40,000 a year. Billy is the best contractor in town, and he earns $480,000 a year. Philip's contracting services

Accepted Answer

A)   are valued more by the market relative to Billy's and that explains why his income is higher than Billy's.
B)   are valued less by the market relative to Billy's and that explains why his income is higher than Billy's.
C)   are valued less by the market relative to Billy's and that explains why his income is lower than Billy's.
D)   are more expensive because he receives a compensating differential.E) A) and C)
F) B) and C)

Question 20

Figure 19-7 
-Refer to Figure 19-7. The figure shows labor demand and labor supply in a non-unionized labor market. If the current labor demand is D1 and the current labor supply is S1, when a union is established in this market and succeeds in raising the wage to $18 per hour, what is the change in the number of workers employed?

Accepted Answer

100 fewer ...

Exam 19: Earnings and Discrimination

Which theory states that education makes workers more productive?

Correct Answer
verified
human-capi...
View Answer

Correct Answer
verified

Which of the following factors affects the marginal productivity of a worker?

Correct Answer
verified

Figure 19-6 -Refer to Figure 19-6. Given demand, D1, and supply, S2, how much more do the workers with jobs earn per hour if a minimum wage of $8 per hour is imposed on this market?

Correct Answer
verified

Coal mining is a dangerous and dirty job. Suppose someone developed new machinery that made coal mining safer and cleaner; at the same time, suppose it made coal miners more productive. We would expect that the wages of coal miners would

Correct Answer
verified

Evidence from a 1988 study of the market for professional basketball players

Correct Answer
verified

In recent years, the amount of international trade in which the United States engages has increased. Which of the following accurately describes the effect(s) on labor demanded by firms in the United States?

Correct Answer
verified

A company has two locations where it employs workers doing the same job and working the same hours. Other things the same most workers would prefer to live in location A, but location A has a higher cost of living than location B.

Correct Answer
verified

Philip is an average contractor in town, and he earns $40,000 a year. Billy is the best contractor in town, and he earns $480,000 a year. Philip's contracting services

Correct Answer
verified

About what proportion of the variation of wages across workers is explained by factors that can be measured? What are the other factors that explain wage differences but are difficult to measure?

Correct Answer
verified
About half. The othe...
View Answer

Correct Answer
verified
100 fewer ...
View Answer

Economists have found evidence that differences in wages can be explained by

Correct Answer
verified

Discrimination by a manager in the hiring process may be consistent with the decision to maximize profits if

Correct Answer
verified

According to the signaling view, education

Correct Answer
verified

A manager of a small firm who believes in the signaling theory of education would encourage her employees to obtain additional education to raise their on-the-job productivity.

Correct Answer
verified

If a good is produced with technology that allows the best producer to supply every customer at a low cost and every customer in the market wants to enjoy the good supplied by the best producer, the best producer will be called a

Correct Answer
verified

Major league baseball players get paid more than minor league baseball players because of

Correct Answer
verified

Assuming that all other things are equal, including the wage, which of the following statements is correct?

Correct Answer
verified

What is the term for offering different opportunities to similar individuals who differ only by race, ethnic group, sex, age, or other personal characteristics?

Correct Answer
verified

A computer is an example of human capital.

Correct Answer
verified

Exam 19: Earnings and Discrimination

Which theory states that education makes workers more productive?

Correct Answerverifiedhuman-capi...View AnswerShow Answer

Correct AnswerverifiedShow Answer

Which of the following factors affects the marginal productivity of a worker?

Correct AnswerverifiedShow Answer

Figure 19-6 -Refer to Figure 19-6. Given demand, D1, and supply, S2, how much more do the workers with jobs earn per hour if a minimum wage of $8 per hour is imposed on this market?

Correct AnswerverifiedShow Answer

Coal mining is a dangerous and dirty job. Suppose someone developed new machinery that made coal mining safer and cleaner; at the same time, suppose it made coal miners more productive. We would expect that the wages of coal miners would

Correct AnswerverifiedShow Answer

Evidence from a 1988 study of the market for professional basketball players

Correct AnswerverifiedShow Answer

In recent years, the amount of international trade in which the United States engages has increased. Which of the following accurately describes the effect(s) on labor demanded by firms in the United States?

Correct AnswerverifiedShow Answer

A company has two locations where it employs workers doing the same job and working the same hours. Other things the same most workers would prefer to live in location A, but location A has a higher cost of living than location B.

Correct AnswerverifiedShow Answer

Philip is an average contractor in town, and he earns $40,000 a year. Billy is the best contractor in town, and he earns $480,000 a year. Philip's contracting services

Correct AnswerverifiedShow Answer

About what proportion of the variation of wages across workers is explained by factors that can be measured? What are the other factors that explain wage differences but are difficult to measure?

Correct AnswerverifiedAbout half. The othe...View AnswerShow Answer

Correct Answerverified100 fewer ...View AnswerShow Answer

Economists have found evidence that differences in wages can be explained by

Correct AnswerverifiedShow Answer

Discrimination by a manager in the hiring process may be consistent with the decision to maximize profits if

Correct AnswerverifiedShow Answer

According to the signaling view, education

Correct AnswerverifiedShow Answer

A manager of a small firm who believes in the signaling theory of education would encourage her employees to obtain additional education to raise their on-the-job productivity.

Correct AnswerverifiedShow Answer

If a good is produced with technology that allows the best producer to supply every customer at a low cost and every customer in the market wants to enjoy the good supplied by the best producer, the best producer will be called a

Correct AnswerverifiedShow Answer

Major league baseball players get paid more than minor league baseball players because of

Correct AnswerverifiedShow Answer

Assuming that all other things are equal, including the wage, which of the following statements is correct?

Correct AnswerverifiedShow Answer

What is the term for offering different opportunities to similar individuals who differ only by race, ethnic group, sex, age, or other personal characteristics?

Correct AnswerverifiedShow Answer

A computer is an example of human capital.

Correct AnswerverifiedShow Answer

Correct Answer
verified
human-capi...
View Answer

Correct Answer
verified

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
verified
About half. The othe...
View Answer

Correct Answer
verified
100 fewer ...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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