Is the following statement True or False? "Employer Taste Discrimination models of wage inequality have generally assumed that workers across ethnicities have the same productivity, while models of statistical discrimination do not." Carefully explain in a few sentences. Are all workers paid the Value of their Marginal Product of Labour based on the Employer Taste Discrimination model? Explain in a few sentences.

Microeconomics A Contemporary Intro
10th Edition
ISBN:9781285635101
Author:MCEACHERN
Publisher:MCEACHERN
Chapter18: Income Distribution And Poverty
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Is the following statement True or False?
"Employer Taste Discrimination models of wage inequality have generally assumed that
workers across ethnicities have the same productivity, while models of statistical
discrimination do not."
Carefully explain in a few sentences.
Are all workers paid the Value of their Marginal Product of Labour based on the Employer
Taste Discrimination model?
Explain in a few sentences.
Transcribed Image Text:Is the following statement True or False? "Employer Taste Discrimination models of wage inequality have generally assumed that workers across ethnicities have the same productivity, while models of statistical discrimination do not." Carefully explain in a few sentences. Are all workers paid the Value of their Marginal Product of Labour based on the Employer Taste Discrimination model? Explain in a few sentences.
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