1. Consider two people: Rae and Jae. Rae and Jae can purchase meat or salad.
Rae likes meat more than Jae does, and Jae likes salad more than meat.
a) Draw a graph showing the indifference curves for Rae and Jae, with salad on the vertical axis and meat on the horizontal axis. Explain the slopes of the indifference curves:
b) Who has the steeper indifference curve?
c) What does the slope of the indifference curve tell you about the person’s preference?
d) How do you think social norms about who shops for groceries might affect the purchases made in a family?
2. The country of Workland has three sectors: Services, Manufacturing and Primary Production (S, M and P)
There are 500 male workers and 400 female workers in the country.
They are distributed according to
Men
Women
Services
200
220
Manufacturing
250
150
Primary Production
50
30
Calculate the Duncan index of dissimilarity for this economy.
3. Consider the following article:
https://montrealgazette.com/news/quebec/saint-eustache-hospital-posts-job-offers-for-whitewoman-only-report
Classify the discrimination type according to Becker’s taste-based discrimination. Explain why you
made this choice. Is this legal in Canada?
4. In Not-equal Incorporated, the average wage of a white male is $25 per hour. The average wage
of a female person of colour is $18.
a) Write the equation for the relationship between these wages if
a. The difference is due to employer based discrimination.
b. The difference is due to employee based discrimination.
b) For each case, calculate D as a percent of W’.
5. Consider Jake and Al. They are considering going to Portugal or Sweden once the pandemic
ends. Here are their payoffs:
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