Asked by Sharee Posey on Apr 28, 2024

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In the taste-for-discrimination model,

A) a decline in discrimination will reduce the actual African-American-white wage ratio.
B) an increase in collective discrimination coefficients of employers will reduce the demand for African-American workers, decrease the African-American wage, and increase African-American employment.
C) firms that discriminate will have lower costs than firms that do not discriminate.
D) competitive forces will tend to reduce discrimination in the very long run.

Taste-For-Discrimination Model

An economic model that explains how personal bias and preferences can lead to differences in wages and employment levels for certain groups.

African-American-White

Refers to the societal, demographic, or statistical distinctions and analyses contrasting African American individuals or communities with White individuals or communities.

Wage Ratio

The comparative rate of pay for different jobs or workers, often analyzed to assess equity or disparity in employment income.

  • Clarify the operational dynamics of the taste-for-discrimination model in economic analysis.
  • Understand the effects of minimizing or intensifying discrimination within workplace environments.
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AP
Abhisha PatelMay 03, 2024
Final Answer :
D
Explanation :
The taste-for-discrimination model suggests that competitive forces will, over time, reduce discrimination because firms that discriminate incur higher costs, making them less competitive compared to firms that do not discriminate. This leads to a natural market-driven reduction in discriminatory practices in the long run.