An Industry Consists of Three Firms with Equal Annual Sales

question 35

Multiple Choice

An industry consists of three firms with equal annual sales.What is the industry's C₄?

• A) 0.58
• B) 0.75
• C) 1.00
• D) There is not sufficient information to compute the industry C₄.

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Definitions:

Quota

A regulation enforced by authorities that caps the quantity or financial worth of merchandise allowed to be imported or exported within a given timeframe.

Equilibrium Quantity

The quantity of goods or services supplied and demanded at the equilibrium price, where the quantity supplied equals the quantity demanded.

Illegal Activities

actions that are forbidden by law and subject to criminal penalties.

Missed Opportunities

Potential benefits or gains that are forfeited when a choice is made over alternative options.