If There Are Two Firms in an Industry and Each

question 135

Multiple Choice

If there are two firms in an industry and each has 50 percent market share, then the Herfindahl-Hirschman Index equals

• A) 2,500.
• B) 2,800.
• C) 5,000.
• D) 6,600.

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Definitions:

IUPAC Name

The systematic name given to a chemical substance based on a set of published rules by the International Union of Pure and Applied Chemistry (IUPAC), aimed at standardizing chemical nomenclature.

Cycloalkane

Saturated hydrocarbons with carbon atoms arranged in a ring or cyclic structure.

Ring Strain

The stress and instability in the atomic structure of a cyclic molecule due to its geometric angles deviating from the ideal angles.

Methylene

A group consisting of one carbon atom bonded to two hydrogen atoms (-CH2-), commonly found as part of organic molecules.