An industry consists of three firms with sales of $225,000, $45,000, and $315,000. a. Calculate the Herfindahl-Hirschman index (HHI). Instruction: Enter your response rounded to the nearest integer. b. Calculate the four-firm concentration ratio (C4)
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An industry consists of three firms with sales of $225,000, $45,000, and $315,000.
a. Calculate the Herfindahl-Hirschman index (HHI). Instruction: Enter your response rounded to the nearest integer.
b. Calculate the four-firm concentration ratio (C4).
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- An industry consists of three firms with sales of $345,000, $750,000, and $215,000. a. Calculate the Herfindahl-Hirschman index (HHI). Instruction: Enter your response rounded to the nearest integer. b. Calculate the four-firm concentration ratio (C4). c. Based on the FTC and DOJ Horizontal Merger Guidelines described in the text, is the Department of Justice likely to attempt to block a horizontal merger between two firms with sales of $345,000 and $215,000? No YesAn industry consists of three firms with sales of $200,000, $500,000, and $400,000. a. Calculate the Herfindahl-Hirschman index (HHI). Instruction: Enter your response rounded to the nearest integer. b. Calculate the four-firm concentration ratio (C4). c. Based on the FTC and DOJ Horizontal Merger Guidelines described in the text, is the Department of Justice likely to attempt to block a horizontal merger between two firms with sales of $200,000 and $400,000? O Yes O No Note:- Please refrain from offering handwritten solutions. Please ensure that your response maintains accuracy and quality to avoid receiving a downvote. Take care of plagiarism. Answer completely. You will get up vote for sure.onsider a homogenous good industry with four firms. Total demand is given by D(p)=200-p.The variable (=marginal) cost of each of the firms is c1=10, c2=20, c3=30 and c4=35. Firms compete in prices. Suppose firms 1 and 2 merge into one entity and produce with a marginal cost of 15. Which of the following statements is correct? After the merger, total welfare increases by $500. After the merger, total welfare decreases by $500. After the merger, total welfare increases by $1000. After the merger, total welfare decreases by $1000. None of the above.
- The petrol industry in Dubai has become increasingly concentrated in recent decades. The number of firms in the industry has dropped by 40 per cent since a 1999 peak, while the remaining firms “swelled in size.” In order to enter the industry, the owners of the companies must have significant capital at their disposal and they consider the impact of their decisions on competitors and the reactions of their competitors on themselves. Older firms tend to rest on their laurels, having little incentive to innovate. They spend less on research and development, and instead acquire growth through mergers or acquisitions and expand margins by raising prices on consumers. As at 2020, Cyril Tech has become the largest player in the market providing 80 per cent of the petrol output. The remaining players control 20 per cent of the output. a) State what market structure existed in the petrol industry subsequent to 1999. Can excess profit be earned in this industry in the long run. Explain.b) State…Please solve it quickly you can upload handwritten answer also. Consider Atlanta as an oligopoly market with five airlines that behave in a Cournot Model fashion. The Atlanta market demand schedule is: P = 390 - .5*Q. The Cost schedule for Delta is: MC=AC=Scomp=80. The Cost schedule for the other four firms (United, Southwest, et al) is: MC=AC=Scomp=40. What is Delta’s new market share?The petrol industry in Dubai has become increasingly concentrated in recent decades. The number of firms in the industry has dropped by 40 per cent since 1999 peak, while the remaining firms "swelled in size." In order to enter the industry , the owners of the companies must have significant capital at their disposal and they consider the impact of their decisions on competitors and the reaction of their competitors on themselves. Older firms tend to rest on their laurels, having little incentivw to innovate. They spend less on research and development, and instead acquire growth through mergers or acquisitions and expand margins by raising prices on consumers. As at 2020, Cyril Tech has become the largest player in the market providing 80 per cent of the petrol output. The remaining players control 20 per cent of the output. A. State what market structure existed in the petrol industry SUBSEQUENT to 1999. Can excess profit be earned in this industry in the long run. Explain B. State…
- Q2. Singapore based Flextronics International, Ltd., the world’s second-largest provider of electronics manufacturing services (EMS) and largest manufacturer of cell phones. The market for EMS is extremely competitive. If Flextronics’ operations can do all things, then it will satisfy its customers and win more business. What are the main factors and conditions leading to the Flextronics' high degree of rivalry? – Explain. Q3. In 2015, size of the beauty Industry in the U.S. was estimated to be around $80 billion (sales). L’Oréal, Unilever, Procter and Gamble were some of the top multinational players dominating the market. Birchbox, a New York-based beauty products subscription start-up was established in September 2010 by Hayley Barna and Katia Beauchamp. Over the years, Birchbox had sustainably grown its subscriber base to 1 million but in 2016 it found itself at a critical point where it had to slow down its growth owing to lack of funds even as copycat businesses were shadowing…Suppose a country's mobile phone industry is supplied by only two firms (i.e. an oligopoly). Explain how the presence of two firms affects the price elasticity of demand of each firm's output.The Costa Rican gimble industry consists of 14 firms whose annual sales are as shown in the table below: \table[[Firm, Sales (in millions)], [A, 4], [B, 8], [C, 12], [D, 18], [E, 23], [F, 17], [Next eight firms (total), 18]] a. What is the (four-) firm concentration ratio for this industry? Four firm concentration: % b. In what type of market does the gimble industry operate? Market type: c The Costa Rican gimble industry consists of 14 firms whose annual sales are as shown in the table below: Firm A Sales (in millions) 4 B C D E F Next eight firms (total) 8 12 18 23 17 18 a. What is the (four-) firm concentration ratio for this industry? Four firm concentration: % b. In what type of market does the gimble industry operate? Market type: (Click to select) v
- a) Suppose that the two firms engage in Cournot competition. Find the equilibrium price PNE in the industry, the equilibrium outputs QANE and QBNE, as well as the profits πANE and πBNE, for each firm. b) Suppose the marginal cost for firm B increases from $20 to $140, while everything else remains unchanged. Find the new equilibrium price PNE in the industry, the new equilibrium outputs QANE and QBNE, as well as the new profits πANE and πBNE for each firm. c) Suppose that, in addition to the marginal cost increase from $20 to $140 from sub question b), firm B also has a fixed cost of $2500, out of which $2100 may be recouped if it shuts down; everything else remains unchanged. In this case, what will firm B’s optimal output be? (Justify your answer.) What will firm A’s profit be?Let's say that you know the following information for an oligopoly firm:Total Revenue equals $200 million.Variable Costs are $170 million.Fixed Costs equal $20 million.The firm is currently producing 2,000 products at the MC = MR point (and the MC curve is rising).What recommendation do you have for this firm?There is only one provider of electricity in San Diego County - SDGE. They have a lot of power to set prices. They set prices so that margin cost = marginal revenue, Choose.. Choose.. There is one market price for crude oil. In this type of commodity market, every supplier is a price taker Oligopolistic Competition Monopolistic Competition Price Discrimination We often see price wars in the airline industry. In this industry, there are a few big players and they pay attention to their competitors' pricing decisions and are likely to respond accordingly. Monopoly Pure or Perfect Competition Price Fixing In many branded consumer goods markets, there are many sellers each selling over a broad range of prices. Thus, you can get a pair of Fila running shoes for $40 or a pair of Nikes for $80. This type of market is best categorized as Choose.
