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Unformatted text preview: takers,” since neither can exert any control over the market wage rate. Monopsony – a market in which a single employer of labor has substantial buying power 1) The demand for labor in those nations is relatively large compared to the supply of labor. 2) If the rate they decide to advertise is too low, no workers will apply. As for workers, if they barter with a rate that is too high, firms will not hire them. 3) (pg. 275)...
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This note was uploaded on 04/09/2008 for the course ECON Econ taught by Professor Downs during the Fall '07 term at Seton Hall.
- Fall '07