a) Compare and contrast the SCP (structureconductperformance) and the NEIO (new empirical industrial organization) approaches to empirical research in industrial organization. (20 marks)

b) Outline Hannah and Kay's (1977) general criteria for a concentration measure to reflect the most important characteristics of the firm size distribution. (20 marks)

c) Explain the advantages and disadvantages of the n-firm concentration ratio as a measure of seller concentration. (20 marks)

d) Discuss how changes in the following factors (that are national income, interest rates, stock market prices, technology, competition policy and management education) may affect the level of merger activity. (20 marks)