If an industry evolves from monopolistic competition to oligopoly, we would expect a. the four-firm concentration ratio to decrease. b. the four-firm concentration ratio to increase. c. the four-firm concentration ratio to remain the same. d. barriers to entry to weaken.

b. the four-firm concentration ratio to increase.

Explanation: The four-firm concentration ratio should increase when and competition shifts from monopoly to oligopoly. A ratio that exceeds 40 percent is an indication of oligopololistic competition while a ratio of less than 40 percent is an indication of monopolistic competition. Concentration ratios are used to show the extent of market control of the largest firms in the industry. When it is computed using the four largest firms in an industry, it measures the extent to which the four largest firms dominate the sales of a good.

An easy reference rule is that an oligopoly exists when the top four firms in the market account for more than 60% of total market sales in the industry.

hi,

henry is an economist and wants to understand the relationship between inflation and consumer spending habits. for his research, he needs the consumer price index for 2014 and the inflation rate. based on the prices of goods given, what will he find to be the cpi and inflation rate for 2014? assume that a consumer’s basket for three consecutive years consists of the following:

you dont privide answer choices.

answer - 15% of a inflatation rate is 15% less in cpi

answer; institution;