The reserve clause in Major League Baseball (MLB),which allowed baseball players to negotiate salary only with the first team that signed them,was removed in 1975.The dismantling of the reserve clause was undertaken to:
A)ensure that players got more playing time.
B)break up the MLB owner's monopoly power.
C)break up the MLB owner's monopsony power.
D)allow players to hire their own agents.

Question

Quizplus · Accepted Answer

The reserve clause allowed MLB owners to hold a monopsony power over players, meaning they were the only buyers of players' services. Removing the reserve clause broke up this monopsony power and allowed players to negotiate with multiple teams and potentially earn higher salaries.

The Reserve Clause in Major League Baseball (MLB),which Allowed Baseball