[anshukla]

"One leading hypothesis is that firms employing low-wage workers—such as fast-food chains—have significant monopsony power in the labor market; that is, they are the principal purchasers of low-wage labor in a particular job market. And a monopsonist facing a price floor doesn’t necessarily buy less, just as a monopolist facing a price ceiling doesn’t necessarily sell less and may sell more."

- Krugman, http://www.nybooks.com/articles/2015/12/17/robert-reich-chal...

"The employment effect of the minimum wage is one of the most studied topics in all of economics. This report examines the most recent wave of this research – roughly since 2000 – to determine the best current estimates of the impact of increases in the minimum wage on the employment prospects of low-wage workers. The weight of that evidence points to little or no employment response to modest increases in the minimum wage."

Schmitt, https://cepr.net/documents/publications/min-wage-2013-02.pdf

[eric_h]

Thanks for teaching me a new word (monopsony)! It's been a long while since my vocabulary has been increased with something that's not a millennial invention.

[icebraining]

It's been a long while since my vocabulary has been increased with something that's not a millennial invention.

That means you're missing The Allusionist! http://www.theallusionist.org/

[Animats]

Farmers know that term very well. When the second loading ramp or grain elevator closes, and there's only one buyer left, farmers face a monopsony. Farmers have fought back with co-ops and Government price supports.