- CFA Exams
 - CFA Level I Exam
 - Topic 2. Economics
 - Learning Module 1. The Firm and Market Structures
 - Subject 10. Identification of Market Structure
 
CFA Practice Question
Consider two firms in industry X. 

What is the Herfindahl index of this industry?
Correct Answer: 0.68
Herfindahl index = 0.202 + 0.802 = 0.68
User Contributed Comments 3
| User | Comment | 
|---|---|
| Bududeen | uncompetitive | 
| frants54 | very | 
| lordcomas | Near monopoly |