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Which of the Following Statements Regarding Monopsony Is False

Question 22

Multiple Choice

Which of the following statements regarding monopsony is false?


A) A monopsonist faces no constraints as it sets wages.
B) Monopsony is more likely in situations of unskilled labour.
C) A monopsonist is likely to lose some of its market power in the long run.
D) A monopsonist is likely to face a fairly inelastic supply of labour.
E) Monopsony is more likely in situations of immobile labour.

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