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Monopsony Power in Occupational Labor Markets

  • Fabio MéndezEmail author
  • Facundo Sepúlveda
Article

Abstract

We collect data from the 1979 National Longitudinal Survey of Youth and create comparable measures of monopsonistic power for up to 46 occupational labor markets in the USA, starting in 1979 and ending in 2000. Our results suggest most occupational labor markets during that period were characterized by substantial amounts of monopsonistic, wage-setting power. Furthermore, after controlling for individual, time, and industry fixed effects, our results show a negative and significant correlation between the extent of monopsony power that characterizes a market and both, the wages and fringe benefits received by workers.

Keywords

Monopsony Wages Fringe benefits 

JEL Classification

J42 J31 J51 

Notes

Compliance with Ethical Standards

Conflict of interests

The authors declare that they have no conflict of interest.

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Copyright information

© Springer Science+Business Media, LLC, part of Springer Nature 2019

Authors and Affiliations

  1. 1.Loyola University MarylandBaltimoreUSA
  2. 2.Universidad de Santiago de ChileSantiagoChile

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