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The government uses the HHI as a guideline to determine which proposed mergers are acceptable.

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The government uses the HHI as a guideline to determine which proposed mergers are acceptable.

Question 1.

The U.S. beer industry has an HHI of 3,525. If two beer producers propose a merger that would increase the industry HHI by 25 points, then the merger would be challenged based on the change in the HHI.

▸ true

▸ false

Question 2.

The government uses the HHI as a guideline to determine which proposed mergers are acceptable.

▸ true

▸ false

Textbook

Principles of Economics

Edition: 12^th

Authors: Case, Fair, Oster

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More solutions for this book are available here

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