The measure of monopsony
Langella, M.
& Manning, A. P.
(2021).
The measure of monopsony.
(CEP Discussion Papers CEPDP1780).
London School of Economics and Political Science. Centre for Economic Performance.
& Manning, A. P.
(2021).
The measure of monopsony.
(CEP Discussion Papers CEPDP1780).
London School of Economics and Political Science. Centre for Economic Performance.
There has been increasing interest in recent years in monopsony in labour market. This paper discusses how we can measure monopsony power combining insights from models based on both frictions and idiosyncrasies. It presents some evidence from the UK and the US about how monopsony power varies across the wage distribution within markets, over the business cycle and over time.