Question

The Herfindahl index equals ______. Multiple choice question. total market shares of the largest four firms in an industry sum of the squared percentage market shares of all firms in an industry average percentage market share in an industry percentage market shares of all firms in an industry

Answer 1

The Herfindahl index equals sum of the squared percentage market shares of all firms in an industry.

What is Herfindahl index?

The Herfindahl Index can be regarded as the common measure of market concentration which is used in measuring the market in term of the competition.

In calculating this  Herfindahl Index, we can determine the pre- and post-M&A and  equals sum of the squared percentage market shares .

Learn more about  Herfindahl index at; brainly.com/question/15701307

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