A student in a managerial economics class calculated the four-firm concentration ratio and HHI for industries A andB.What is the proper conclusion she can draw from the following findings? 
A) Industry B is a monopoly.
B) The market power of firms in industry A is greater than that in industry B.
C) C4 is higher for Industry A while the HHI is higher for Industry B.This inconsistency must be due to a calculation error.
D) Neither industry is perfectly competitive.
Correct Answer:
Verified
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