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how to calculate the 10yr CR4 in the Commercial Banking industry in the United States?

how to calculate the 10yr CR4 in the Commercial Banking industry in the United States?

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Answer #1

CR4 is a measure of the concentration ratio in an industry.

CR4 for any industry = market share of four largest firm / total market size

For the Commercial Banking industry, CR4 is calculated as :

loans of four largest commercial banks / loans of all commercial banks in US

This ratio, calculated over a 10-year period, is the 10-year CR4 for the Commercial Banking industry in the US.

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