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The minimum possible value of the "Frequency of Championships" Herfindahl-Hirschman Index is:__________.

1 Answer

1 vote

Answer:

1/N

Step-by-step explanation:

Herfindahl-Hirschman Index is used to measure the market concentration and market competitiveness of firm(s).

A major advantage of this index is that it is easy to calculate while using small amount of data required for calculation.

It been used by government agencies such as the U.S. Department of Justice for cases involving mergers and acquisition.

Since we are concerned with the minimum possible value we divide
(1)/(N).

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