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27 Nov 2019

Discrimination?

Draw simple labor supply and demand graphs for the occupations of school teachers and plumbers to show the labor market in each profession. Assume that some workers prefer to clean drains for a living, and some prefer to teach children, but that all will change occupations if the wages are high enough.

Now assume that men face discrimination that prevents them from becoming teachers; show and explain the effect of this discrimination on wages and labor supply in both occupations graphically and in your own words.

Show the reduction in output from discrimination. Show the economic gains from eliminating discrimination. With such gains, why has it been so difficult to enact and enforce anti-discrimination policies?

Review Gerald Friedman, “The Wages of Gender,” Real World Micro, 8.3. Why are women in low-wage jobs? Do they prefer lower wages?

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Sixta Kovacek
Sixta KovacekLv2
21 Mar 2019
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