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Mergers and the Herfindahl-Hirschman Index (HHI)

12. Monopoly / Mergers and the Herfindahl-Hirschman Index (HHI) / Problem 7

Problem 7

If an industry has three firms with market shares of 40%, 30%, and 30%, what is the HHI?

A

2800

B

2500

C

3400

D

3000