Mary and Mike are twins who attended grammar school through college together. Both twins got jobs in the same department of an accounting firm. They both work equally hard and have received similar performance reviews. Mary earns $62,000 a year, and Mike earns $80,000 a year. Select the best explanation for this wage difference.
A)Mary has less human capital than Mike.
B)Mary has more human capital than Mike.
C)Mike has been discriminated against because he is male.
D)Mary has been discriminated against because she is female.

Question

Quizplus · Accepted Answer

The most likely explanation for this wage difference is discrimination against Mary because she is female. This is especially apparent because Mary and Mike have the same education and work experience, yet Mike earns significantly more than Mary. This wage difference is consistent with the gender pay gap that persists in many industries and workplaces, despite laws and policies that are designed to prevent it.

Mary and Mike Are Twins Who Attended Grammar School Through