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Men and women are equally productive, but employers discriminate against women. The following table lists the discrimination coefficient of five employers. Employer d Al's Autobody
Men and women are equally productive, but employers discriminate against women. The following table lists the discrimination coefficient of five employers. Employer d Al's Autobody 0.000 Billy's Bagels 0.053 Chris's Cuts 0.111 Danny's Decor 0.176 Ed's Eyecare 0.250 Each firm employs 100 workers. There are 250 women and 250 men in this labor market. At full employment, the value of the marginal product of labor is $20 per worker, and men typically earn this value. 3a. Compute each employer's reservation wage ratio and reservation wage to employ women. 3b. Illustrate the labor demand curve for women in this market. (HINT: It is extremely similar to the graph we did in class) 3c. If the hourly wage of women is $18.50 per worker, how many women and men does Chris's Cuts employ? 3d. What is the equilibrium hourly wage of female workers in this market? 3e. At the equilibrium, how many women does each firm employ
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