A firm's average cost is $20 and it charges a price of $20. The Lerner index for this firm is:
A industry is comprised of ten (10) firms, each with an equal market share. What is the 4-firm
Concentration ratio of this industry?
Note that AV = P, which means that the firm makes no economic profit. This firm must be a perfect ...
This solution explains how to determine a firm's concentration ratio.