Final answer:
The commission of a broker in a multiple listing service is generally negotiated by the broker and the seller. It is a result of market negotiations, not set by outside organizations, and reflects the principles of market economics where parties must be well-informed and free to negotiate.
Step-by-step explanation:
The commission received by a broker who is a member of a multiple listing service is typically negotiated by the broker and the seller. This is because the commission is part of the broader concepts of market economics, where buyers and sellers act independently and have the freedom to negotiate terms that are most advantageous to their respective interests. The broker's commission is not usually set by the multiple listing service or the local realtors board, nor is it typically negotiated between the buyer and the seller. Instead, the commission rate is something that the broker and the seller agree upon, taking into account factors such as market conditions, the level of service provided by the broker, and the specifics of the property being sold.
In the context of the market, key principles come into play, such as the fact that both buyers and sellers must be well informed of the conditions in the markets, and that they need to have the ability to enter into and leave the market whenever they choose. These principles ensure that the negotiation over the broker's commission remains a matter of agreement between the service provider (the broker) and the client (the seller).