In this exercise, we examine the conditions under which monopsony is inevitable. Call P_M the market price that a trader can realize on the market and call T the transportation cost for moving goods from the village to the market. If there are two traders, assume that the probability one of them buys the goods from the farmer is 50% (alternatively, assume that the trader can only buy half of the farmer's output) but both traders will incur transportation costs to the village and back to the market, whether or not they succeed in contracting with the farmer. Consider the minimum price at which the farmer makes no profit under the traditional as well as the new technology. What are the conditions of trans- portation costs for which profits are positive for a monopsonist but negative if there are two or more traders?