In a bilateral monopoly,wages and employment are determined by
A)Negotiation.
B)The intersection of market supply and demand.
C)The intersection of marginal cost and marginal revenue product.
D)The intersection of marginal wage and market demand.

Question

Quizplus · Accepted Answer

In a bilateral monopoly, both the monopolist seller and monopolist buyer negotiate to set the price and quantity that will maximize their own profits. Similarly, wages and employment are determined through negotiation between the employer and employees, with both parties trying to reach an agreement that maximizes their own benefit. Therefore, the correct choice is A) Negotiation.

In a Bilateral Monopoly,wages and Employment Are Determined by