Discrimination in the labour market The following table lists the name, height, and minimum wage 10 people are willing to accept to work as sales clerks at a high-end clothing store. Name Height Minimum Wage (Centimetres) (Dollars per week) Eileen
Discrimination in the labour market The following table lists the name, height, and minimum wage 10 people are willing to accept to work as sales clerks at a high-end clothing store. Name Height Minimum Wage (Centimetres) (Dollars per week) Eileen
Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter11: Labor Markets
Section: Chapter Questions
Problem 2SQP
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Discrimination in the labour market
The following table lists the name, height, and minimum wage 10 people are willing to accept to work as sales clerks at a high-end clothing store.
|
Name
|
Height
|
Minimum Wage
|
|---|---|---|
|
(Centimetres)
|
(Dollars per week)
|
|
| Eileen | 170 | $301 |
| Amy | 167 | $325 |
| Deborah | 170 | $349 |
| Van | 181 | $362 |
| Carlos | 179 | $386 |
| Janet | 168 | $410 |
| Felix | 175 | $423 |
| Raphael | 176 | $447 |
| Larry | 168 | $460 |
| Megan | 176 | $484 |
The lowest wage that the clothing store can pay to hire five sales clerks is $ per week.
Suppose the head of the clothing store has a preference for tall employees because he thinks it will increase revenue, and thus, he imposes the restriction that all sales clerks hired must be at least 172 centimetres in height. Under this new regulation, the wage rate the clothing store must pay to attract five sales clerks rises by $ per week.
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