Since the National Basketball Association is the only significant employer of professional basketball players, it might be referred to as a(n)

Question

Quizplus · Accepted Answer

A monopsony occurs when there is only one buyer of a particular good or service. In this case, the NBA is the only significant employer of professional basketball players, making it a monopsony in the market for basketball player talent. Option A, oligopsony, would indicate that there are a small number of buyers in the market, which is not the case here. Option B, monopoly, would suggest that the NBA is the only seller of basketball games or basketball-related merchandise, which is not true. Option D, oligopolist, would suggest that there are only a few firms in the market, which is also not true in this case.

Since the National Basketball Association Is the Only Significant Employer