🤑ap microeconomics review

Monopsonistic labor market

Written by the Fiveable Content Team • Last updated August 2025
Verified for the 2027 exam
Verified for the 2027 examWritten by the Fiveable Content Team • Last updated August 2025

Definition

A labor market in which there is a single employer (monopsonist) who is the sole buyer of labor, giving that employer significant power to influence wages and employment levels.

AP course connection

Topic 5.4: 5.4 Monopsony Markets

Unit 5

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