"…a market structure in which a single buyer substantially controls the market as the major purchaser of goods and services offered by many would-be sellers."
A single buyer, such as a large corporation or government agency, has significant control over the prices and terms offered to suppliers.
Market Power: The degree of power a single buyer has in a market, influencing the price and quantity of goods and services.
Market Structure: The arrangement and configuration of buyers and sellers in a market, including the number of buyers and sellers of a good or service.
Labor Economics: The branch of economics that studies the behavior and decision-making of workers and firms in relation to the labor market.
Game Theory: The study of strategic decision-making in situations where more than one player is involved.
Cost-Benefit Analysis: A method used to evaluate the costs and benefits of a decision or course of action.
Competition Policy: Laws and regulations aimed at promoting a competitive market environment and preventing anti-competitive behavior.
Price Discrimination: The practice of charging different prices to different groups of customers for the same good or service.
Efficiency: The degree to which resources are used to create the maximum possible value.
Transaction Costs: The costs associated with the process of exchanging goods or services, including search costs, negotiation costs, and legal fees.
Bargaining Power: The degree of leverage a party has in negotiations or discussions, influencing the outcome of a deal or agreement.
Economic Models: Simplified representations of complex economic phenomena used to understand and predict the behavior of markets, firms, and consumers.
Welfare Economics: The branch of economics that focuses on the welfare, or well-being, of society as a whole.
Mergers and Acquisitions: The process of combining or acquiring companies, often resulting in changes to market structure and competition levels.
Market Failure: A situation where the market fails to allocate resources efficiently, often due to externalities, public goods, or imperfect information.
Monopoly Power: The degree of market power held by a single seller of a good or service, often leading to higher prices and reduced competition.
Minimum Wage Laws: Laws stipulating a minimum wage rate that employers must pay workers for their labor.
Efficiency Wages: Wages paid by employers above the market rate in order to increase worker productivity and reduce turnover.
Antitrust Laws: Laws preventing anti-competitive behavior and promoting competition in markets, often enforced by government regulatory agencies.
Labour market institution: The industrial organization studies institutional arrangements in the labour market that impact employment and wages.
Collusion: The practice of firms working together secretly to limit competition, often resulting in increased prices and reduced consumer welfare.
Classical monopsony: This occurs when there is only one buyer or employer of a particular resource or labor market, and the firm can control the wage rate by setting the quantity of employment.
Bilateral monopsony: This occurs when there is only one employer but multiple workers' unions in a specific labor market, and both parties can influence the wage rate by negotiating.
Regional monopsony: This type of monopsony happens in the regional labor market where only one employer dominates the region by offering low wages; this situation makes it very hard for other employers to offer higher wages to employees.
Product monopsony: This type of monopsony arises when there is a single buyer in the market for a specific product, commodity, or raw materials. As a result, the buyer can leverage its position to pay lower prices for the goods.
Recruitment monopsony: This happens when there is one employer in a labor market that dominates hiring, thus making it difficult for other employers to attract workers. This type of monopsony can lead to lower wages because people have limited job options.
Skills-based monopsony: This type of monopsony occurs when only one employer in a labor market requires highly skilled workers. This situation makes it challenging for highly skilled workers to find alternative jobs and hence leads to lower wages.
Time-based monopsony: This happens when workers receive their wages based on the time they devoted to work. In this type of monopsony, one employer can dictate the hours that workers must work, which also dictates the wages paid during each pay period.
Knowledge-based monopsony: This type of monopsony arises when only one employer demands highly specific knowledge to perform a job. Since employees with this knowledge may be rare, it can be challenging for them to negotiate for higher wages.
Institutional monopsony: Institutional monopsony is also known as government monopsony. This occurs when the government is the sole purchaser of a particular product or service. In this case, government agencies can influence the price of the good or service, and the government can control the supply chain.
"The microeconomic theory of monopsony assumes a single entity to have market power over all sellers as the only purchaser of a good or service."
"A single buyer substantially controls the market as the major purchaser of goods and services."
"...which can influence the price for its buyers in a monopoly."
"...a similar power to that of a monopolist."
"…where multiple buyers have only one seller of a good or service available to purchase from."
"A single buyer substantially controls the market."
"The major purchaser of goods and services offered by many would-be sellers."
"A single buyer substantially controls the market as the major purchaser of goods and services offered by many would-be sellers."
"A market structure in which a single buyer substantially controls the market."
"The major purchaser of goods and services offered by many would-be sellers."
"The microeconomic theory of monopsony assumes a single entity to have market power over all sellers."
"A single buyer substantially controls the market as the major purchaser."
"Multiple buyers have only one seller of a good or service available to purchase from."
"A single buyer substantially controls the market."
"A single entity to have market power over all sellers."
"A single buyer substantially controls the market as the major purchaser."
"To assume a single entity to have market power over all sellers as the only purchaser."
"The major purchaser of goods and services."
"…where multiple buyers have only one seller of a good or service available to purchase from."