A monopsonist is a firm which

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A monopsonist is a firm that is the only buyer in a particular market, which means it can exert considerable market power and influence the price of the good or service it is buying. This is different from a monopoly, which is a firm that has complete control over the supply of a particular good or service. A monopsonist may face a downward sloping demand curve for the output it produces, but this is not a defining characteristic of a monopsonist. Similarly, a monopsonist may or may not be a price taker in the labor market and may face a horizontal, upward sloping or downward sloping demand curve for labor, depending on the nature of the labor market.

A Monopsonist Is a Firm Which