The figure in the next column shows the market for a group of workers who are discriminated against. Suppose that other workers in the same industry are not discriminated against and their value of marginal product is perceived to be twice that of the workers who are discriminated against. Suppose also that the supply of these other workers is 2,000 hours per day less at each wage rate.

a. What is the wage rate of the workers who are discriminated against?

b. For workers who are discriminated against, what quantity of labor is employed?

c. What is the wage rate of the workers who do not face discrimination?

d. For workers who do not face discrimination, what quantity of labor is employed?

Transcribed Image Text:

Wage rate (dollars per hour) 20 16 12 8 4 0 2 1 4 S D 6 8 10 Labor (thousands of hours per day)