Economics Q92
92An analyst has gathered the following data for an industry comprising of five firms:
| Company | Market Share (%) |
| UBL | 35 |
| HBL | 30 |
| NBP | 25 |
| NIB | 5 |
| MCB | 5 |
The industry’s three-firm Herfindahl-Hirschmann Index is closest to:
- Option : A
- Explanation : The three-firm Herfindahl-Hirschmann Index is = 0.35² + 0.30² + 0.25² = 0.275.
