Definition

Relating to a market situation where a small number of buyers have significant control over the market, affecting prices and supply.

Example

In an oligopsonistic market, a few large companies dominate the purchasing power, influencing the prices of goods.

Conversation

Have you heard about the new market structure they are studying?

Yeah, I read something about it being quite oligopsonistic.

Right? It really changes how we think about competition.

Definitely! It’s interesting to see how it affects prices too.

Synonyms & Antonyms

Root Explanation

Oligopsonistic → It is formed from "oligo-" (from Greek "oligos", meaning few or little) and "opson" (from Greek "opsonion", meaning food or provision). The suffix "-istic" indicates a characteristic or relating to. The term describes a market condition where there are few buyers for many sellers, emphasizing the limited number of buyers in a market.

Memory Tip

Think of 'few' ('oligo-') buyers in a market where many sellers are present, which is what 'oligopsonistic' refers to.

Visually Confused Words