Question 9: Market Concentration The following table reports the market shares for major U.S. Airlines in 2009. Firm Delta American United Continental Southwest US Air Jet Blue AirTran Alaska Share in 2009 25 19 16 12 11 9 4 3 1 (a) Calculate the Herfindahl-Hirschman Index (HHI) for the airline industry in 2009. How would you characterize this industry (highly concentrated, moderately concentrated, not concentrated)? (b) Suppose that the following mergers occur. American merges with USAir, United merges with Continental, and Southwest merges with AirTran. What is the new HHI? Do you think that the DOJ would allow these mergers to occur?