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When Employers Sort Employment Applications into High-Ability and Low-Ability People

Question 129

Multiple Choice

When employers sort employment applications into high-ability and low-ability people based on whether or not the applicant has a college degree (irrespective of major) , they are providing evidence in support of the


A) human-capital theory of education.
B) signaling theory of education.
C) principle that education reduces marginal productivity.
D) principle that most business owners are more interested in discriminating against a particular group than in maximizing profits.

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