wilslm

but HHI is from that weight ^2, not simply the weight. that is why I don't understand why 1/HHI could get total number of the firm......

Chuckrox8 Wrote:
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> Because HHI, your denominator is essentially the
> proportionate share that one firm has with the
> market. If you assume that all firms are equal
> size then a firm with 2% mkt share would result in
> 1/.02= 50 comparable size firms.