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    Horizontal Integration

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    What is the Justice Department policy regarding mergers involving firms involved in Horizontal Integration?

    © BrainMass Inc. brainmass.com October 9, 2019, 8:13 pm ad1c9bdddf

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    Justice Department uses the HHI (Herfindahl-Hirschman Index ) to gauge market concentration. Market concentration is a useful indicator of the likely potential competitive effect of a merger. The general standards for horizontal mergers are as follows:

    a) Post-Merger HHI Below 1000. The Agency regards markets in this region to be unconcentrated. Mergers resulting in unconcentrated markets are unlikely to have ...

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    The solution answers the question below in great detail. Horizontal integration justice department policy are examined.