If a pre- merger Herfindahl- Hirschman Index (HHI)is greater than ______ , the market is considered not competitive and any merger receives a high level of scrutiny.
A)1,500
B)500
C)2,500
D)5,500

Question

Quizplus · Accepted Answer

According to the U.S. Department of Justice, if the HHI is above 2,500, the market is considered highly concentrated, and any merger or acquisition that increases the HHI by more than 200 points in a highly concentrated market is likely to be subject to close scrutiny by the antitrust authorities.

If a Pre- Merger Herfindahl- Hirschman Index (HHI)is Greater Than