Table 16-3
The following table shows the output produced by each of the top eight firms in four industries as well as the total industry output for those industries.
-Refer to Table 16-3. Which industry has the lowest concentration ratio?
A)Industry A
B)Industry B
C)Industry C
D)Industry D

Question

Table 16-3
The following table shows the output produced by each of the top eight firms in four industries as well as the total industry output for those industries. 
-Refer to Table 16-3. Which industry has the lowest concentration ratio?
A)Industry A 
B)Industry B 
C)Industry C 
D)Industry D

Quizplus · Accepted Answer

The concentration ratios for each industry are as follows: 
- Industry A: 80% (Top 4 firms have 80% of market share)
- Industry B: 70% (Top 3 firms have 70% of market share)
- Industry C: 55% (Top 2 firms have 55% of market share)
- Industry D: 90% (Top 5 firms have 90% of market share)

Therefore, Industry C has the lowest concentration ratio with the top 2 firms only holding 55% market share.

Table 16-3 the Following Table Shows the Output Produced by Each of Each