Which of the Following Methods Is Used to Calculate the Herfindahl-Hirschman

question 56

Multiple Choice

Which of the following methods is used to calculate the Herfindahl-Hirschman Index?

• A)adding the squares of the market shares of a firm in the relevant product and geographic markets
• B)subtracting the market shares of the defendant by the market shares of the competing firm
• C)dividing the sum of the market share of each competing firm by the market share of the alleged monopolist
• D)multiplying the market shares of the two firms who intend to merge

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