If a particular labor market were to convert from a competitive market to a monopsony, what effect would we expect on the number of workers hired? What effect would we expect on the wage paid to workers?

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Hunter Barnett · Accepted Answer

Final Answer : We would expect the number of workers hired to decrease. We would expect the wage paid to workers to decrease as well.

If a particular labor market were to convert from a competitive market to a monopsony, what effect would we expect on the number of workers hired? What effect would we expect on the wage paid to workers?

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