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level: Discrimination

Questions and Answers List

level questions: Discrimination

QuestionAnswer
What is Wage Discrimination?-This occurs when Employers have Monopsony Power and pays Different Wage Rates Different Workers Willingness to the Supply Curve -This means that the Total Wage Cost for the Firm falls from Square to a Triangle
Which Categories would be more Likely to Work for Lower Wages?-The Youth, purely for trying to get Experience and not Money -Part Time Workers trying to get some Money at least, if they are not the Main Wage Earner in the Household -Immigrants, if they still Earn More than their Country of Origin
What Advantages and Disadvantages would Wage Discrimination bring to the WorkersA: Employer's Wage Costs will be Lowered meaning Demand for Labour can be Increased dishing out More Jobs D: Leads to Exploitation of Vulnerable Workers who are Forced to Accept Lower Wages D: Force Wages down for All Workers in a Market
What Advantages and Disadvantages would Wage Discrimination bring to the EmployersA: Reduces the Cost of Wages, leading to Higher Profits D: Requires much more Admin to Pay Workers in the Same Job Different Wages D: Leads to Industrial Unrest if Workers know about the Wage Differences --> Trade Union Intervention?
What Advantages and Disadvantages would Wage Discrimination bring to the Economy?A: Could Increase Employment Levels via Increased Demand for Labour D: Leads to Increases in Inequality and so more Government Benefits to 'Top Up' low wages
What is Labour Market Discrimination?-This is when a Specific Group of Workers are Treated Differently from other Workers in the Same Job -Based on their: Race, Gender, Sexuality, Religion, Disability, Pronouns... -This is Banned in Britain. The Equality Act of 2010
What is Racial Discrimination? (In the Labour Market)-Employers only want to Work with and Employ with people from a Similar Ethnic Background. -Prepared to Pay a Price for this - Loss of Productivity
What is the Gender pay gap?-Average Pay Rates are Lower for Women than for Men -Thought to be from how Male Employees are Paid More than Female Employees from doing the Same Job
What happens to Workers when they Suffer from Discrimination?-They Accept Lower Wages than what they are Expected for (Overqualified perhaps?) -Humans who are put through this can be Expelled from Promotions, making them have Limiting Carer Prospects. -The Social Cost too? Mental Health?
Why do Employers Discriminate via Prejudices?-They Believe the MRP of certain Groups of Workers are Lower than it Really is. Or that their Preferred Group is Higher than it is -The MRP of the Discriminated Group leads to less being Employed and Wages going down. -The Cost of doing so means they lose out of the Productivity, having fewer Workers to choose from, and Increased Prices.
Why can Discrimination affect the Government and the Economy?-The Government needs more Welfare Payments to support the Discriminated Workers -Discriminated Workers receiving Unfairly Low Wages reduces the Government Tax Revenues -If the Discriminated Workers are in a Job that is not Suited for them, then Productivity can fall. This can hit the Country international as they become less Competitive