In making labor supply decisions, ________ weigh the market wage against the value of leisure and time spent in unpaid household production.

Which of the following statements is not correct?

a. If a firm discriminates by paying short workers less than tall workers, the firm may be able to compete in the market if the firm's customers also prefer taller workers to shorter workers. b. If the government passes regulations that prevent shorter workers from working in higher paying jobs, taller workers may continue to earn higher wages than shorter workers. c. Government regulation that prohibits discrimination is economically necessary because market forces support discrimination. d. Competitive markets will eliminate discrimination in wages over time unless customer preferences also reflect discrimination and/or government intervention promotes discrimination.

Define discrimination. Why does discrimination occur, and what evidence exists that it does occur?

What will be an ideal response?