Chapter 12

Question 1

Efficiency wage

Answer 1

A higher wage paid to encourage greater work productivity

Question 2

implicit bias

Answer 2

judgments shaped by the unconscious attribution of particular qualities to member of a specific group.

EX: musicians audition behind a curtain do the conductors make decisions solely on what they hear

Question 3

discrimination

Answer 3

Treating people differently based on color of skim=n, sex, race etc.

Question 4

institutional discrimination

Answer 4

bias against disadvantaged groups that is embedded in laws and institutions
EX: harsher sentences for using crack cocaine (common in blacks) than for powder cocaine (common in white communities)

Question 5

statistical discrimination

Answer 5

Using observations about the average characteristics of a group to make inferences about an individual

EX: woman tend to be primary caregivers just because they are a woman.

Question 6

monopsony

Answer 6

A business using its bargaining power as a major buyer to pay lower prices including employers paying lower wages.

Question 7

Extrinsic motivation

Question 8

intrinsic motivation

Answer 8

The desire to do something for the enjoyment of the activity itself.

Question 9

signaling theory of education

Question 10

prejudice

Answer 10

biased.. NOT factual
negative attitude towards someone based solely on their membership of a particular group.

Question 11

wage differentals

Question 12

compensating differential

Answer 12

the differences in wages required to offset the desirable or undesirable aspects of a job

Question 13

human capital

Answer 13

The accumulated knowledge and skills that make a worker more productive.

Question 14

superstar effect

Question 15

What is a gender wage gap

Answer 15

Woman get paid less even if they obtain more education.
They tend yo work in lower paid occupationsand work fewer hours

Question 16

what is the difference between extrinsic motivation and intrinsic motivation

Question 17

how do you intrinsically motivate your employees

Question 18

what is the relationship between education and income?

Answer 18

The more education the more money you will earn

Question 19

why would an employer pay efficiency wages

Answer 19

To motivate the worker to do the best job he possibly can