contestada

A concentration ratio measures ____.

(A) the excess capacity found in a particular oligopolistic industry.
(B) the sales of the three largest firms in the industry minus the costs of these three largest firms in the industry.
(C) the share of industry sales accounted for by the largest firms in the industry.
(D) the average size of the firms in the industry.

Respuesta :

Answer:

The correct answer is A

Explanation:

Concentration ratio is the ratio which uses the combined shares of the market for a given number of the firms to the whole size of the market. It consider firms with 3, 4 or 5-firm concentration ratio

It is used to measure the extent or the excess capacity to a given or specific market or industry which is oligopolistic.

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