A company town in the lumber or mining industry is an example of a

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A company town in the lumber or mining industry is an example of a monopsony, which is a market situation where there is only one buyer for a particular product or service, in this case, the company that owns and operates the town. The workers in the town have limited options for employment and are forced to sell their labor to the company, which has significant bargaining power in setting wages and working conditions. This creates an imbalance in the labor market, with the company acting as a monopolist in terms of buying labor.

A Company Town in the Lumber or Mining Industry Is