JAMB Economics 2009 Question 50

Question 50

Labour Market

When workers have a union, the supply of labour is said to be

  1. A.monopolistic
  2. B.oligopolistic
  3. C.monopsonistic
  4. D.competitive
Show the answer and explanation

Answer: A (monopolistic)

Explanation

A trade union acts as a single seller of its members' labour, like a monopolist.