Answered

Westonci.ca makes finding answers easy, with a community of experts ready to provide you with the information you seek. Explore in-depth answers to your questions from a knowledgeable community of experts across different fields. Explore comprehensive solutions to your questions from knowledgeable professionals across various fields on our platform.

If the Herfindahl-Hirschman Index (HHI) for an industry is 2,100, the market is considered:

A. perfectly competitive
B. highly concentrated
C. moderately concentrated
D. unconcentrated

Sagot :

GinnyAnswer

Final answer:

The Herfindahl-Hirschman Index (HHI) of 2,100 falls under moderately concentrated markets, indicating a moderate level of market concentration.


Explanation:

The Herfindahl-Hirschman Index (HHI) for an industry is 2,100. This value falls under the category of moderately concentrated markets.

The HHI measures market concentration by summing the squares of the market shares of firms in the industry. Higher values indicate more concentrated markets, with perfect competition at 0 and a monopoly at 10,000.

For example, the HHI of 2,521 for breakfast cereals suggests higher concentration compared to ice cream with an HHI of 736, indicating the breakfast cereal industry is less competitive.


Learn more about Herfindahl-Hirschman Index (HHI) here:

https://brainly.com/question/43976730


Thank you for visiting our platform. We hope you found the answers you were looking for. Come back anytime you need more information. Thank you for visiting. Our goal is to provide the most accurate answers for all your informational needs. Come back soon. Find reliable answers at Westonci.ca. Visit us again for the latest updates and expert advice.