Which of the Following Statements Regarding Monopsony Is False

Multiple Choice

Which of the following statements regarding monopsony is false?

A) The marginal cost of labour is lower than the average cost of labour in the case of monopsony.
B) The equilibrium wage and the equilibrium employment levels are lower than what they would be if the labour market were perfectly competitive.
C) All workers except the marginal worker are paid more than their reservation wage.
D) The total wage bill is lower in the case of monopsony.
E) If a competitive labour market were to become a monopsony, economic rent would be transferred from the workers directly to the employer.