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

Question

Quizplus · Accepted Answer

The Minimum-Efficient Scale Index is not a measure of market power, but rather a measure of production efficiency. It represents the minimum amount of output that a firm must produce to achieve the lowest possible average cost per unit of production. The other three options (Lerner Index, four-firm concentration ratio, Herfindahl-Hirschman Index) are measures of market power, which reflect the degree of control or influence that firms in an industry have over prices and output levels.

All of the Following Are Measures of Market Power Except