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Cox Comm. is considering merging with Dish Network because together they would have a 24% market share (see table below). You have been informed that

Cox Comm. is considering merging with Dish Network because together they would have a 24% market share (see table below). You have been informed that that any post-merger four firm concentration ratio greater than 75% is considered too concentrated, prompting the Federal Trade Commission and the Department of Justice to dis-allow a merger. If the post-merger four firm concentration ratio is between 60% and 75%, then more information is necessary to determine if the merger will be allowed to take place. If the post-merger four firm concentration ratio is less than 60%, then the merger will very likely be allowed. Consider the following current market share data: Comcast 21% Direct TV 17% Time Warner 16% Dish Network 13% Charter Comm. 12% Cox Comm. 11% all others 10% Based on this evidence, what will likely be the regulatory response if a merger were to take place? Group of answer choices More information is necessary to determine if the merger will be allowed or not The merger will be allowed The merger will dis-allowed

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