Questions from Labor Economics


Q: After controlling for age and education, it is found that the

After controlling for age and education, it is found that the average woman earns $0.80 for every $1.00 earned by the average man. After controlling for occupation to control for compensating differen...

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Q: Consider a town with a population that is 10 percent black (

Consider a town with a population that is 10 percent black (and the remainder is white). Because blacks are more likely to work the night shifts, 20 percent of all cars driven at night are driven by b...

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Q: Suppose 100 men and 100 women graduate from high school. After

Suppose 100 men and 100 women graduate from high school. After high school, each can work in a low-skill job and earn $200,000 over his or her lifetime, or each can pay $50,000 and go to college. Coll...

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Q: Suppose the discrimination coefficient increases as the firm employs more black workers

Suppose the discrimination coefficient increases as the firm employs more black workers. In particular, suppose the discrimination coefficient is d = 0.01 E B where E B is the number of blacks hired b...

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Q: Consider a data set with the following descriptive statistics.

Consider a data set with the following descriptive statistics. Wage is the worker’s hourly wage; Black takes on a value of 1 if the worker is black and a value of 0 otherwise; work...

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Q: In 2006, Evo Morales assumed the presidency in Bolivia, a

In 2006, Evo Morales assumed the presidency in Bolivia, a South American country in which official commerce is done in Spanish. Morales was the first Bolivian president of indigenous decent. As presid...

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Q: Suppose black and white workers are complements in that the marginal product

Suppose black and white workers are complements in that the marginal product of whites increases when more blacks are hired. Suppose also that white workers do not like working alongside black workers...

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Q: Suppose a restaurant hires only women to wait on tables, and

Suppose a restaurant hires only women to wait on tables, and only men to cook the food and clean the dishes. Is this most likely to be indicative of employer, employee, consumer, or statistical discri...

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Q: In 1960, the proportion of blacks in southern states was higher

In 1960, the proportion of blacks in southern states was higher than the proportion of blacks in northern states. The black–white wage ratio in southern states was also much lower than in northern sta...

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Q: Suppose years of schooling, s, is the only variable that

Suppose years of schooling, s, is the only variable that affects earnings. The equations for the weekly salaries of male and female workers are given by w m = 500 + 100s and w f = 300 + 75s On average...

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