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Why is the largest possible value of the Herfindahl index 10,000?

2006-11-05 09:46:01 · 1 answers · asked by Precious C 1 in Social Science ➔ Economics

1 answers

It is an index of the square of a percentage so let 100%=100 Index points. So 100 index points times 100 index points equals 10,000 index points. So a monopoly has a score of 10,000.

2006-11-05 23:33:52 · answer #1 · answered by OPM 7 · 0⤊ 0⤋

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