4.1.6.7 Discrimination in the labour market

Discrimination

When workers with the same skills and productivity are treated differently based on characteristics like gender, race or age

Imperfect competition, imperfect info, preferences/prejudices

Conditions for discrimination

lower wages, fiver promotions, or difficulty in getting hired for affected groups

Discrimination can result in…

Equality act 2010

protects workers from unfair treatment

marginal revenue product of labour (MRPL)

Discrimination in the labour market can be shown using a Wage determination diagram with the ______ ______ ________ __ ________ curve

lower, productivity, same, lower wage, demand, leftward, male, other, discrimination, affected, supply, increase

If employers discriminate against women, they may perceive their MRPL as ______, even when __________ is the _____ leading to a ______ _____ for female workers

This shifts the ______ curve for female labour _______ reducing equilibriums wages compared to ____ workers

If gender discrimination takes place in one labor market, ______ labour markets in which no __________ is taking place will also be ________

In these markets, the _______ curve of female workers ________ (S1-S2) as a direct result of discrimination taking place in the first labour market, lowering wages in this labor market