What is the 4-firm concentration ratio of an industry with 25 firms each having an equal market share?
A)0.16.
B)0.24.
C)0.20.
D)0.12.

Name: What is the 4-firm concentration ratio of an industry with 25 firms each having an equal market share? A)0.16. B)0.24. C)0.20. D)0.12.
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Quizplus · Accepted Answer

The 4-firm concentration ratio is the sum of the market shares of the top 4 firms in an industry. In this case, each firm has an equal market share of 1/25, so the 4-firm concentration ratio is 4 * 1/25 = 0.16.

What Is the 4-Firm Concentration Ratio of an Industry with 25