Consider a Market Characterized by a Herfindahl-Hirschman Index of 5,000

Consider a market characterized by a Herfindahl-Hirschman index of 5,000.One of the firms in this market has a Lerner index of 0.89 and is considering a horizontal merger with a competing firm.Based on this information,it is likely that the U.S.Department of Justice will:

A) approve the merger since the industry is not concentrated and the firm proposing to merge has little market power.
B) reject the merger since the industry is highly concentrated, even though the firm proposing the merger has little market power.
C) reject the merger since the industry is highly concentrated and the firm proposing the merger has significant market power.
D) None of the answers are correct.