Question

how does tge term market power relate to the concentration ratio in a particular industry? define...

how does tge term market power relate to the concentration ratio in a particular industry? define concentration ratio. what does four firm concentration ratio measure? explain how it measure this. the aircarft industry has four-firm concentration ratio of 84.8 the mattress industry has a four-firm concentration ration of 38.6. interpret these numbers and compare the market power of firms in these two industries.

answer with your own word ( 200 words )
0 0
Add a comment Improve this question Transcribed image text
Know the answer?
Add Answer to:
how does tge term market power relate to the concentration ratio in a particular industry? define...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Which of the following are measures of industry concentration? A Four-firm concentration ratio @ HH index...

    Which of the following are measures of industry concentration? A Four-firm concentration ratio @ HH index C Consumer surplus (D Four-firm concentration ratio and HHI index Question 2 In perfect competition, which is NOT true? (A) Every firm has a small but perceivable market power. (B) There are a large number of firms. © Firms are price-takers (D) Firms produce homogenous goods

  • The following table reports the four-firm concentration ratio for five different industries:

    The following table reports the four-firm concentration ratio for five different industries:Refer to the table above. In which industry do the four largest firms have the most market power?Refer to the table above. In which industry do the four largest firms have the least market power? 

  • Consider two industries, industry W and industry X. In industry W there are five companies, each...

    Consider two industries, industry W and industry X. In industry W there are five companies, each with a market share of 20% of total sales. In industry X, there are six companies. One company has a 50% market share and each of the other five firms has a market share of 10%. a.   Calculate the four-firm concentration ratio for each industry. b.   Calculate the Herfindahl-Hirschman Index (HHI) for each industry. c.   What do the values of the two concentration measures imply about the...

  • All of the following are measures of market power except the: A) four-firm concentration ratio for...

    All of the following are measures of market power except the: A) four-firm concentration ratio for an industry. B) Herfindahl-Hirschman Index. C) Minimum-Efficient Scale Index. D) Lerner Index.

  • Suppose that market for good X has a four-firm concentration ratio of 0.80. Having worked for...

    Suppose that market for good X has a four-firm concentration ratio of 0.80. Having worked for the four largest firms in the industry, you know the sales for these four firms are given by $100,000, $125,000, $150,000, and $175,000. Based on this information, what are sales for the remaining firms in the industry?

  • One of the key economic principles is competition or choice. define the terms "market concentration" and...

    One of the key economic principles is competition or choice. define the terms "market concentration" and "market power" and describe how they are measured. What tools are used? How do these terms relate to the principle of competition? Next, apply these concepts, like market power and choice, to the healthcare industry. How do they impact healthcare decision-making and how has healthcare legislation impacted the industry? Support your response with properly cited references from the assigned readings or other academic sources.

  • A concentration ratio is intended to measure How much of an industry is concentrated in central...

    A concentration ratio is intended to measure How much of an industry is concentrated in central Canada How much of a given industry is concentrated in the hands of foreign-owned transnational corporations The number of firms in an industry How much production in a given market is controlled by a few firms The proportion of an industry that concentrates on export market Economic profits can exist in an oligopolistic industry in the long-run because of Natural barriers to entry Economies...

  • Market shares in the U.S. cigarette industry are as follows. Cigarette Company Market Share (Percent) Altria...

    Market shares in the U.S. cigarette industry are as follows. Cigarette Company Market Share (Percent) Altria 50 Reynolds 35 Vector 5 Republic 4 three smallest companies       each 2 Total 100 1. 1. Define the four-firm concentration ratio of an industry. Compute the four-firm concentration ratio for the cigarette industry. Show your computation. 2. Define the Herfindahl-Hirschman index (HHI). Compute the HHI for the cigarette industry. Show your computation. 3. The cigarette industry is often described as a “duopoly.” Explain...

  • STUDY QUESTIONS 1. Of what use is a market model? How do we relate it to...

    STUDY QUESTIONS 1. Of what use is a market model? How do we relate it to reality? 2. Why does perfect competition simplify both marketing and procurement for a manager? 3. What is meant by the entry and exit of firms? Why are entry and exit easy or difficult in the various market models? 4. How do demand curves vary in the different market models? How does each affect managerial behavior and planning? 5. What is a supply-and-demand model? 6....

  • How does this article relate to the factors of productions in economics? From Music to Maps,...

    How does this article relate to the factors of productions in economics? From Music to Maps, How Apple’s iPhone Changed Business Ten years ago, hailing a cab meant waiving one's arm at passing traffic, consumers routinely purchased cameras, and a phone was something people made calls on. The iPhone, released a decade ago this month, changed all of that and more, sparking a business transformation as sweeping as the one triggered by the personal computer in the 1980s. Apple Inc.'s...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT