Herfindahl-Hirschman Index

(noun)

A measure of the size of firms in relation to the industry and an indicator of the amount of competition among them.

Related Terms

  • market power
  • contestable market
  • concentration ratio

Examples of Herfindahl-Hirschman Index in the following topics:

  • Market Power

    • Measurement of market power is often accomplished with concentration ratios or the Herfindahl-Hirschman Index (HHI).
    • The Herfindahl-Hirschman Index (HHI) is a measure of the size of firms in relation to the industry, and an indicator of the amount of competition among them.
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