Scenario 14.1
A worker in Firm A earns an income of $5,000 per month. He has been offered a job in Firm B where he will be paid a salary of $7,000 per month.
-A firm is said to be a monopsonist if it is the sole seller of a commodity in the market.

Question

Quizplus · Accepted Answer

The definition of a monopsonist is the sole buyer of a commodity in the market, not the sole seller.

Scenario 14.1 A Worker in Firm a Earns an Income of $5,000