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One Reason That Wage Discrimination Based on Gender or Ethnicity

Question 89

Multiple Choice

One reason that wage discrimination based on gender or ethnicity could continue is:


A) the existence of higher than equilibrium wages due to market interference or market failure.
B) market competition makes it profitable to engage in discrimination.
C) it is justified by the marginal productivity theory of income distribution.
D) the South African experience with apartheid showed that discrimination led to more rapid economic growth.

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