If an Industry Consists of Only Four Firms with Equal

question 154

Multiple Choice

If an industry consists of only four firms with equal market shares, then the Herfindahl index

• A)is 25
• B)is 10, 000
• C)is 100
• D)is 2, 500
• E)cannot be calculated without additional information

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Definitions:

Mistake

An error in understanding or judgment that may affect the validity of a contract.

Frustrated Contract

A contract that, through no fault of either party, has become impossible to perform, leading to its termination and relieving both parties from their obligations.

Breach of Contract

Occurs when one party fails to fulfill their obligations under the contract’s terms, allowing for legal action by the other party.

Transporter

A transporter refers to an individual or service that moves goods or people from one location to another.