There has been increasing interest in recent years in monopsony in the labour market. This paper discusses how we can measure monopsony power by combining insights from models based on both frictions and idiosyncrasies. It presents some evidence from the United Kingdom and the United States about how monopsony power varies across the wage distribution within markets, over the business cycle and over time.

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1 December 2021

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Journal of the European Economic Association 19(6) , pp.2929-2957, 2021

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DOI: 10.1093/jeea/jvab039

https://academic.oup.com/jeea/article/19/6/2929/6368338

This Journal article is published under the centre's Community Wellbeing programme, Labour programme.