bilateral monopoly

Also found in: Wikipedia.

Bilateral Monopoly

A situation in which there is a single buyer and a single seller of a product. Each party has an incentive to extract the most benefits it can; specifically, the buyer wants to pay the lowest possible price and the seller wants to extract the highest. The result of the ensuing negotiation is somewhere in between. Bilateral monopolies are seen in labor agreements in which one company provides nearly all the jobs in a town (and wants to pay the lowest possible wage) and nearly all citizens in the town work for the company (and want the highest wage).

bilateral monopoly

a market situation comprising one seller (like MONOPOLY) and one buyer (like MONOPSONY).
Mentioned in ?
References in periodicals archive ?
The problem of bilateral monopoly has received much attention over the last 150 or so years.
Standard doctrine relies on familial bonds and the unilateral right of partition to mitigate the problem of bilateral monopoly and to foster cooperation in the management of the tenants' common resource.
Edgeworth, had developed isolated exchange theories that were relevant to the early bilateral monopoly models of A.
Probably, the idea was to limit the government's dependence on the tobacco company and diversify the government creditors and be out of a bilateral monopoly situation.
These "Coasean markets" are in fact a form of bilateral monopoly.
He then examines the elements necessary for any assemblage conclusion of highest and best use, including market value, bilateral monopoly, and the reasonably probable aspect of highest and best use.
For those farmers who had contentious negotiations with the Board, disputes centered on three issues: valuation of property, bilateral monopoly, and third-party effects.
That suggests a move to a bilateral monopoly, and economists will tell you that a bilateral monopoly is not necessarily more efficient than a monopsony.
Perhaps the major problem was the bilateral monopoly between hospitals and purchasers.
And as is well known, the outcome of bargaining in a bilateral monopoly differs from that when the two sides have competitors to whom a disappointed party could switch.
This judgment is based on analyses of bilateral monopoly models, within which profit may be redistributed to the benefit of all channel members.
I still remember a wonderful lecture on bilateral monopoly that Paul gave in 1958 during my second semester at MIT.

Full browser ?