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Please answer all parts, i will give good rating 1. Statistical discrimination (use your notes) Suppose that the employer receives a signal q about a

Please answer all parts, i will give good rating

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1. Statistical discrimination (use your notes) Suppose that the employer receives a signal q about a worker's productivity equal to q=m+e, where m is the worker's true productivity and e is random noise. The mean of m is 4, the variance of m is 2, the mean of e is 0 and the variance of e is 1. a) If the signal received by employer is q=5 what is the employer's best estimate of the true productivity of the worker? b) What happens to this estimate if the variance of e goes up to 2? (Only need to say up or down) c) What happens to this estimate if the variance of m goes up to 3? (Only need to say up or down) d) In the context of group based statistical discrimination, what would be one way that one could reduce the wage disparity between groups

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