High profits in a certain industry

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Reference no: EM136244

Q. An economist claims, depends on an econometric study, that high profits in a certain industry are explained by that industry's high Herfindahl- Hirschman Index (HHI). If you felt, based on your knowledge of the industry that this claim were untrue, what critical questions could you ask about the HHI used for the study?

Max enjoys snorkeling and wind surfing. Max has $35 a day to expend also he can expend as a lot time as he similar to on his leisure pursuits. The cost of renting paraphernalia for wind surfing is $10 an hour and for snorkeling is $5 an hour. The table shows the total utility Max gets from each activity. Total Hours utility from utility from per day windsurfing.

1 120 40
2 220 76
3 300 106
4 360 128
5 396 140
6 412 150
7 422 158

Reference no: EM136244

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