$~~~~~{ \text { Industry } \mathbf { X } } ~~~~~~~~~~~~~ { \text { Industry } \mathbf { Y } } \
\begin{array} { c c c c }
& \text { Market }& & { \text { Market } } \
\text { Firm } &\text { Share } & \text { Firm } & \text { Share } \
1 & .40 & 1 & .30 \
2 & .20 & 2 & .30 \
3 & .10 & 3 & .30 \
4 & .10 & 4 & .05 \
5 & .10 & 5 & .03 \
6 & .10 & 6 & .02
\end{array}$
-Using concentration ratios,which is the more concentrated industry?

Question

$~~~~~{ \text { Industry } \mathbf { X } } ~~~~~~~~~~~~~ { \text { Industry } \mathbf { Y } } \
\begin{array} { c c c c } 
& \text { Market }& & { \text { Market } } \
\text { Firm } &\text { Share } & \text { Firm } & \text { Share } \
1 & .40 & 1 & .30 \
2 & .20 & 2 & .30 \
3 & .10 & 3 & .30 \
4 & .10 & 4 & .05 \
5 & .10 & 5 & .03 \
6 & .10 & 6 & .02
\end{array}$
-Using concentration ratios,which is the more concentrated industry?

Quizplus · Accepted Answer

Industry Y has a higher concentration ratio because the top three firms control a larger share of the market (90%) than the top three firms in Industry X (70%).

-Using Concentration Ratios,which Is the More Concentrated Industry? A)Industry X

-Using Concentration Ratios,which Is the More Concentrated Industry?
A)Industry X