In a monopsony labor market, how is the wage for workers typically determined compared to a competitive labor market?

In a monopsony labor market, there is only one employer who has the power to set wages, unlike a competitive labor market where many employers compete for workers. This single employer can pay lower wages because workers have fewer job options and may accept lower pay just to get a job. For example, if a small town has only one factory hiring, the factory owner can offer a wage that is lower than what workers would earn in a more competitive market, where multiple factories would drive wages up to attract workers. As a result, workers in a monopsony often earn less than they would in a competitive market, where their bargaining power is stronger due to more job opportunities. In short, monopsonies can lead to lower wages and reduced job benefits for workers.