All Words > Monopsony

Thursday, May 5

Monopsony

[mə-NAHP-sə-nee]

Part of speech: noun

Origin: Greek, 1930s

1.

(Economics) A market situation in which there is only one buyer.

Examples of Monopsony in a sentence

"The conglomerate used questionable tactics to create this monopsony."

"Is Amazon a monopsony in the goods market?"

Popularity Over Time

Popularity over time graph

About Monopsony

This word stems from the Greek suffix “mono-” meaning “one” and the Greek “opsōnein,” meaning “buy provisions.”

Did you Know?

“Monopsony” can be easily mistaken with “monopoly,” but they have somewhat inverse definitions. While a “monopsony” is a market situation in which there is only one buyer of a good or service, a “monopoly” is a situation in which there is only one producer of a good or service. Economic theory proposes that monopsonies can lead to lower wages for workers because they are paid less than their marginal revenue product.

Trending Words
Trending on the blog

What's the word?