1. If we strictly followed neoclassical theory,

a. The wage gaps we see today represent long-run equilibrium wages and pay differences are partially attributable to taste based discrimination

b. The wage gaps we see today imply we are not in long run equilibrium, and pay differences are partially attributable to taste based discrimination

c. Wage gaps must not exist in the long run

d. The wage gaps we see today are purely a product of statistical discrimination

e. None of the above

1. The long-run labor market outcome of the neoclassical model with taste-based discrimination relies on? a. economic incentives outweighing non-pecuniary benefits of discrimination for discriminatory firms. b.non-pecuniary benefits for discriminatory firms outweighing economic incentives c.the government punishing firms that conduct discriminatory hiring and pay behavior d.the government rewarding firms for hiring people from certain racial or ethnic groups