Which of the Following Is Most Likely to Increase the Herfindahl

question 22

Multiple Choice

Which of the following is most likely to increase the Herfindahl index of a particular industry?

• A) A horizontal merger between two of the industry's largest firms.
• B) A vertical merger between one of an industry's largest firms and one of the many input suppliers in the resource market.
• C) A conglomerate merger involving one of the industry's major firms.
• D) An agreement by all the industry firms to divide up the market among them.

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Definitions:

20th Century

Refers to the century spanning the years 1901 to 2000, noted for unprecedented technological, political, and cultural changes worldwide.

Advertising

The activity or profession of producing advertisements for commercial products or services.

Media Professionals

Individuals who work within various sectors of the media industry, including journalism, broadcasting, digital content creation, and media production.

Purveyors of Ideology

Individuals or groups that promote or disseminate a particular set of beliefs, values, or principles.