A perfectly discriminating monopsonist pays each worker his or her reservation wage. This results in

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A perfectly discriminating monopsonist, by paying each worker his or her reservation wage, captures all of the surplus that would otherwise go to the workers. This means the firm is able to pay the minimum amount necessary to each worker to keep them employed, thus maximizing its own surplus or profit.

A Perfectly Discriminating Monopsonist Pays Each Worker His or Her