employment in the United States. Whenever the minimum wage has positive or no effects on employment, they appeal to monopsony … States under concentrated labor markets and low-mobility jobs (two variables that measure monopsony), identify heterogeneous … effects among different scenarios derived from the monopsony model, and provide a plausible explanation of the mixed results …

employment in response to a 10 percent minimum wage change. We then introduce monopsony power in local labor markets. We identify … the extent of monopsony power using information on the degree to which minimum wage cost shocks are passed on to consumers … an increase in the minimum wage, the monopsony model potentially implies that employment can rise and prices fall in …

wages. We find that, consistently with monopsony views, the negative effects of minimum wages on employment are reduced when …