Home / Questions / Suppose that the last dollar that Victoria receives as income brings her a marginal utili
Suppose that the last dollar that Victoria receives as income brings her a marginal utility of 10 utils while the last dollar that Fredrick receives as income brings him a marginal utility of 15 utils. If our goal is to maximize the combined total utility of Victoria and Fredrick, we should:
a. Redistribute income from Victoria to Fredrick.
b. Redistribute income from Fredrick to Victoria.
c. Not engage in any redistribution because the current situation already maximizes total utility.
d. None of the above.
5. If women are crowded into elementary education and away from fire fighting, wages in fire fighting will tend to be than if women weren’t crowded into elementary education.
a. Higher.
b. Lower.
6. In the taste-for-discrimination model, an increase in employer prejudice against African-American workers would cause the discrimination coefficient to and the demand curve for African-American labor to shift.
a. Decrease; right.
b. Decrease; left.
c. Increase; right.
d. Increase; left.
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