=+The Herfindahl index is 1,500. Using a contestable market approach, what would you conclude about this industry?

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Economics

ISBN: 9780071214476

5th Edition

Authors: David Colander

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Question Posted: Oct 14, 2024 08:00 AM

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=+The Herfindahl index is 1,500. Using a contestable market approach, what would you conclude about this industry?
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=+1. Which industry is more highly concentrated: one with a Herfindahl index of 1,200 or one with a four-firm con- centration ratio of 55 percent?
=+b. If the actual price in this market were above the equilibrium price, what would drive the market toward the equilibrium?
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=+The Herfindahl index is 1,500. Using a contestable market approach, what would you conclude about this industry?

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Economics

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