Which of the following is not a shortcoming of the concentration ratio as a measure of the extent of competition in an industry?
A) Concentration ratios do not include sales in the United States by foreign firms.
B) Concentration ratios are calculated for the national market, even though the competition in some industries is mainly local.
C) Concentration ratios assign weights to only the four largest firms in an industry.
D) Concentration ratios do not address the fact that competition sometimes exists between firms in different industries.
Correct Answer:
Verified
Q7: A four-firm concentration ratio measures
A)the fraction of
Q8: Oligopolies are difficult to analyze because
A)the firms
Q9: The music streaming industry, where a firm's
Q10: The "Discount Department Stores" industry is highly
Q11: Which of the following is not part
Q13: An oligopoly firm is similar to a
Q14: Marginal revenue for an oligopolist is
A)identical to
Q15: If an industry is made up of
Q16: Producing a homogeneous product occurs in which
Q17: The value of the four-firm concentration ratio
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