Monopsony in Labor Markets: An Under Discussed Cause of Inequality

Vinod Bakthavachalam
Nov 3 · 4 min read

Monopolies are generally agreed upon as bad things because they lead to higher prices, less supply, and lower innovation. The US has an existing system built out to prevent their creation through antitrust laws like the Sherman Act and agencies like the Federal Trade Commission (FTC). There are several famous examples from the past of antitrust cases concerning companies like Microsoft and AT&T. Concerns about monopolization around the largest US tech companies today regularly make headlines like here, here, and here.

Keep the story going. Sign up for an extra free read.

You've completed your member preview for this month, but when you sign up for a free Medium account, you get one more story.
Already have an account? Sign in

Vinod Bakthavachalam

Written by

I am interested in politics, economics, & policy. I work as a data scientist and am passionate about using technology to solve structural economic problems.

Vinod B

Vinod B

Politics, Policy, Economics, & Data

Welcome to a place where words matter. On Medium, smart voices and original ideas take center stage - with no ads in sight. Watch
Follow all the topics you care about, and we’ll deliver the best stories for you to your homepage and inbox. Explore
Get unlimited access to the best stories on Medium — and support writers while you’re at it. Just $5/month. Upgrade