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drek231 [11]
3 years ago
9

Suppose that the most popular car dealer in your area sells 2 percent of all vehicles.

Mathematics
1 answer:
Svet_ta [14]3 years ago
8 0

Answer:

a)the largest Herfindahl index possible = 200

b)the four firm concentration ratio = 8%

Step-by-step explanation:

a) from the question, it follows that the largest share any dealer can have is 2% and the sum of all dealer shares must equal 100% of the market.

We therefore have a maximum number of firms to be 100%/2% = 50.

Since we now know that the maximum number of firms is 50,thus;

At a maximum concentration share of 2% for all firms, the largest Herfindahl index possible = number of firms x percentage squared for each firm = 50 x (2)² = 200

b) In the same logic above, the four firm concentration ratio = 4 x share of the market = 4 x 2% = 8%

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1) No, I have not been in a situation thankfully. But if I was in that situation, where someone was texting while driving, what I would do is turn the person’s phone to silent so that the person won’t get distracted. In addition, I would grab the person’s phone and keep it with me so that the phone is out of reach from the person driving and so that they won’t get distracted or curious and what notifications the are getting.

2) Spending time reading the received or to send a text just for 5 seconds, can increase your chance of crashing. It might seem that’s it not possible to crash just for looking on your phone for only 5 seconds, but it can happen.

3) I personally do think that it’s worth monetary and punitive price if you are caught texting and driving because you are risking the chance of not only getting yourself in danger, but everyone and everything around you. Paying the price will be a helpful reminder to not text and drive at the same time because it will teach you that there are consequences from texting and driving. In addition, if you did hit someone or something, that can not be undone and will effect you and other people. Paying a price can be done but potentially killing something or someone can not be done.

4) A few things that can help you not drive and text at the same time is the following:

- Simply just put your phone in silent. This will help the noises and vibrations from your phone notifications be silent and will help you not be distracted. This is a definitely number 1 rule to keep your eyes on the road instead of your phone.

- If you are with someone else, let the other person text for you so that you don’t have to look and take your hands off the wheel. Simply just say what you want to text to the other person so that they do your job for you.

- Put your phone somewhere you can’t reach it. For example, put it in the backseat so it’s not easy for you to reach it. This will help you not get tempted to grab your phone.

5) To a teenager, the advice I would give is the same things I put for question 3. I think that these steps applies not just for teenagers but for everyone who can drive, no matter the age. Now, to the individuals who think that it’s necessary to drive and text at the same time, what I would say to them is “threaten them” not in a bad way, but what I would say is “There has been a lot of cops around here, you should put your phone away or else you can get a ticket”. It will scare them because who wants to pay a ticket? No one right? If the person is stubborn because sometimes people think they are right and refuse to be in the wrong, just don’t ride with them. Why put yourself at risk? If they get hurt or get something hurt, it’s their fault. Just remember to never go on your phone while driving. Not only are you putting yourself at risk being hurt or even killed but putting everyone and everything else at risk by getting hurt or killed.

I hope this helped! :D

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