Contemporary Labor Economics
Contemporary Labor Economics
11th Edition
ISBN: 9781259290602
Author: Campbell R. McConnell, Stanley L. Brue, David Macpherson
Publisher: McGraw-Hill Education
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Chapter 3, Problem 8QS
To determine

The effectiveness of government programs to reduce racial discrimination.

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If it is not profitable to discriminate, why does discrimination persist? If a country had perfect income equality what would the Lorenz curve look like? Offer one reason why income inequality might increase productivity and efficiency in an economy. Offer one reason why income inequality might reduce productivity and efficiency in an economy. Explain your answers. In country A, the population is 300 million and 50 million people are living below the poverty line. What is the poverty rate?
How do social scientists measure income segregation? Racial segregation? Explain how researchers explore the extent to which racial segregation is the product of income segregation. What are the major findings of this work? What factors other than income differences contribute to racial segregation? Discuss.
Use a demand-and-supply model to explain the impact of occupational segregation or “crowding” on the relative wage rates and earnings of men and women. Who gains and who loses from the elimination of occupational segregation? Is there a net gain or a net loss to society? Explain
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