Assume that the industry consists of 10 firms with 10% of the market share each. If three of these firms are allowed to merge and form a new firm with a 30% market share, while the remaining seven firms will remain with 10% each, what would the change in the Herfindahl index be due to this merger?
A) 1000
B) 600
C) 300
D) 100

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The Answer of Assume that the industry consists of 10 firms with 10% of the market share each. If three of these firms are allowed to merge and form a new firm with a 30% market share, while the remaining seven firms will remain with 10% each, what would the change in the Herfindahl index be due to this merger?
A) 1000
B) 600
C) 300
D) 100

Assume That the Industry Consists of 10 Firms with 10