What is labor market discrimination?

• A. When government policies deliberately set different wages for groups to correct past inequalities.
• B. A situation where workers with similar productivity receive different wages because of characteristics unrelated to productivity (e.g., race or gender).
• C. When employers set wages solely by market forces like supply and demand without any consideration of worker characteristics.
• D. When wages differ because of legitimate differences in education, experience, or job productivity among workers.

Answer: (B)