Monopsony

Pronunciation: /mɑˈnɑpsəni/

Definitions of monopsony

noun a market situation in which there is only one buyer

Example Sentences

A1 A monopsony is a market situation where there is only one buyer.

A2 In a monopsony, the buyer has a lot of power over setting prices.

B1 The company's dominance in the market created a monopsony situation.

B2 Monopsony power can lead to exploitation of suppliers.

C1 Regulators are concerned about the effects of monopsony on competition.

C2 The government intervened to prevent the formation of a monopsony in the industry.

Examples of monopsony in a Sentence

formal The presence of a monopsony in the labor market allows the employer to have significant influence over wages.

informal When there's only one big company hiring in town, it's like a monopsony for job seekers.

slang Having just one buyer for a specific product creates a monopsony situation where they can dictate prices.

figurative In a small village with only one grocery store, the owner essentially has a monopsony over the local food market.

Grammatical Forms of monopsony

• plural: monopsonies
• comparative: more monopsonistic
• superlative: most monopsonistic
• present tense: monopsonizes
• future tense: will monopsonize
• perfect tense: has monopsonized
• continuous tense: is monopsonizing
• singular: monopsony
• positive degree: monopsonistic
• infinitive: to monopsonize
• gerund: monopsonizing
• participle: monopsonized

Origin and Evolution of monopsony

First Known Use: 1933 year

Language of Origin: Greek

Story behind the word: The word 'monopsony' originates from the combination of the Greek words 'monos' meaning single or alone, and 'opsōnia' meaning purchase.

Evolution of the word: The term 'monopsony' was first used in the field of economics to describe a market situation where there is only one buyer for a particular product or service. Over time, the concept has been further developed and applied in various economic theories and analyses.