1.An industry is comprised of 20 firms, each with a 5% market share. What is the four-firm concentration ratio of this industry? a.0.16 b.0.25 c.0.80 d.0.20 2.A Herfindahl index of 0 suggests: a.monopolisitc competition b.perfect competition c.oligopoly competition d.monopoly 3.If the possibility for economies of scale are large, firms can reduce their average total costs by: a.selling off their subsidiaries b.eliminating bureaucratic costs c.hiring professional managers d.merging into even larger firms 4.He was looking to invest money in a market structure without market power.. In this case, He should invest in an industry within: a.Perfect Competition b.Oligopoly c.Monopolistic competition b.Perfect and monopolistic competition