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Monopsony in Motion: Imperfect Competition in Labor Markets (Englisch) Gebundene Ausgabe – 3. März 2003

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Given the breadth and depth of the issues Manning covers--clearly, a staggering amount of work went into this book--even skeptical readers will not be able to dismiss his theory lightly... The book is so well written that even the most complicated material in it is readable. The presentation is also commendably well balanced... [It] deserves a place on our bookshelves alongside the other seminal works in labor economics. -- Michael Rizzo Industrial and Labor Relations Review The manner of Manning's exposition of his arguments advocating the monopsonist view is impressive... [I]t will be hard for even the utmost skeptic and expert not to come away having learnt something more about labor economics. -- Eric A. Strobl Journal of Economic Behavior and Organization


What happens if an employer cuts wages by one cent? Much of labour economics is built on the assumption that all the workers will quit immediately. Here, Alan Manning mounts a systematic challenge to the standard model of perfect competition. "Monopsony in Motion" stands apart by analyzing labour markets from the real-world perspective that employers have significant market (or monopsony) power over their workers. Arguing that this power derives from frictions in the labour market that make it time-consuming and costly for workers to change jobs, Manning re-examines much of labour economics based on this alternative and equally plausible assumption.This book addresses the theoretical implications of monopsony and presents a wealth of empirical evidence. Our understanding of the distribution of wages, unemployment, and human capital can all be improved by recognizing that employers have some monopsony power over their workers. Also considered are policy issues including the minimum wage, equal pay legislation, and caps on working hours.

In a monopsonistic labour market, concludes Manning, the 'free' market can no longer be sustained as an ideal and labour economists need to be more open-minded in their evaluation of labour market policies. "Monopsony in Motion" will represent for some a new fundamental text in the advanced study of labour economics, and for others, an invaluable alternative perspective that henceforth must be taken into account in any serious consideration of the subject.

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