In a Perfectly Balanced Oligopoly (With Eight Firms, All Having

Multiple Choice

In a perfectly balanced oligopoly (with eight firms, all having the same market share) , if any one firm captures 1 percent of the market from one of the others,

A) c and d
B) the eight-firm concentration ratio will increase
C) the eight-firm concentration ratio will decrease
D) the Herfindahl-Hirschman index will rise
E) the Herfindahl-Hirschman index will fall