Consider a market with 5 firms. Firm 1 sells a quantity q₁=60, firm 2 sells a quantity q₂=24, and for the other three firms, q₃= q₄= q₅=12.

1.Find the total quantity sold in this market.

2.Find the market shares of the 5 firms.

3.Find the I4 (four firm concentration ratio). Use a decimal fraction (not percentages) when you enter the number.

4.Find the HHI (Herfindahl-Hirschman Index of market Concentration) use fractions (not percentages).

5.Which of the following is a market that is more concentrated than the market above according to the HHI, but is equally concentrated according to the I4 index? [Answer may appear in different order in the online quiz. So be sure to match using the shares.]

s₁=0.3, s₂=0.25 s₃= s₄= s₅=0.15.

s₁=0.55,s₂=0.15 s₃= s₄= s₅=0.1.

s₁=0.45,s₂=0.25 s₃= s₄= s₅=0.1.

s₁=0.5,s₂=0.35 s₃= s₄= s₅=0.05.

None of these markets.