Under current guidelines, the Federal Trade Commission will likely challenge

Question

Quizplus · Accepted Answer

Under the current guidelines, the FTC will likely challenge a merger if the HHI is 2500 or higher and the merger increases the HHI by more than 200 points. This is based on the Horizontal Merger Guidelines issued in 2010 by the FTC and the Department of Justice, which set out the criteria for evaluating the likely competitive effects of mergers and acquisitions. A higher HHI indicates a more concentrated market and a greater likelihood of anti-competitive effects. Therefore, the FTC is more likely to challenge a merger that leads to a significant increase in concentration, as measured by the HHI.

Under Current Guidelines, the Federal Trade Commission Will Likely Challenge