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 dismantling of the reserve clause in MLB was undertaken to break up the MLB owner's monopsony power. Prior to the removal of the reserve clause, players were obligated to negotiate salary only with the first team that signed them, giving the owners substantial bargaining power. Removing the clause allowed players to negotiate with multiple teams and increased their bargaining power, which helped to break up the owner's monopsony power.

The Reserve Clause in Major League Baseball (MLb