In this podcast episode dedicated to the new edition of the Handbook of Labor Economics, Tim Phillips speaks with Patrick Kline , Professor of Economics at UC Berkeley, about monopsony in the labor market.
Unlike monopoly, where a single supplier dominates, monopsony occurs when a single buyer—in this case, an employer—has significant power to set wages.
Prof. Kline discusses recent research on the prevalence of monopsony and the role of policy and regulation in addressing monopsony power. He emphasizes the need for rigorous understanding and innovative policy solutions to tackle this issue effectively.
