Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question AA After controlling for age and education, it is found that the average woman earns $0.80 for every $1.00 earned by the average man.

image text in transcribed
Question AA After controlling for age and education, it is found that the average woman earns $0.80 for every $1.00 earned by the average man. After controlling for occupation to account for compensating differentials (i.e.. maybe men accept riskier or more stressful jobs than women, and therefore are paid more), the average woman earns $0.92 for every $1.00 earned by the average man. The conclusion is made that occupational choice reduces the wage gap by 12 cents and discrimination is left to explain the remaining 8 cents. Explain why discrimination may explain more than 8 cents of the 20cent differential (and occupational choice may explain less than 12 cents of the differential}

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Local Consumption And Global Environmental Impacts Accounting, Trade-offs And Sustainability

Authors: Kuishuang Feng, Klaus Hubacek, Yang Yu

1st Edition

1317577272, 9781317577270

More Books

Students also viewed these Economics questions

Question

=+a) Draw the decision tree.

Answered: 1 week ago