IDEAS home Printed from https://ideas.repec.org/a/ris/iosjes/0001.html
   My bibliography  Save this article

The Herfindahl-Hirschman Index as a decision guide to business concentration: A statistical exploration

Author

Listed:
  • Djolov, George

    (University of Stellenbosch)

Abstract

This article examines whether the Herfindahl-Hirschman Index (HHI) is a reliable decision-making tool of business concentration. The statistical properties of the index are considered in order to facilitate an improved statistical decision-making with the index. A misinformed application of the HHI as to its statistical characteristics has encouraged questionable uses and applications of the index. It has also limited its potential uses. Understanding the statistical nature of the HHI reveals that there is more to this index than known heretofore.

Suggested Citation

  • Djolov, George, 2013. "The Herfindahl-Hirschman Index as a decision guide to business concentration: A statistical exploration," Journal of Economic and Social Measurement, IOS Press, issue 3, pages 201-227.
    • Handle: RePEc:ris:iosjes:0001
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Vuković, Bojana & Mijić, Kristina & Spahić, Nataša, 2015. "Concentration Of Tobacco Market: Evidence From Serbia," Economics of Agriculture, Institute of Agricultural Economics, vol. 62(2), pages 1-14, June.
    2. Rój Justyna, 2016. "Competition Measurement of Hospitals in Poland: The Herfindahl-Hirschman Index Approach," Ekonomika (Economics), Sciendo, vol. 95(1), pages 166-181, January.
    3. Tang, Edward Chi Ho & Leung, Charles Ka Yui & Ng, Joe Cho Yiu, 2018. "Does an Oligopolistic Primary Market Matter? The Case of an Asian Housing Market," MPRA Paper 93680, University Library of Munich, Germany.
    4. George Djolov, 2014. "Business concentration through the eyes of the HHI," International Journal of Business and Economic Sciences Applied Research (IJBESAR), International Hellenic University (IHU), Kavala Campus, Greece (formerly Eastern Macedonia and Thrace Institute of Technology - EMaTTech), vol. 7(2), pages 105-127, September.
    5. Paul D. Gottlieb & Jennifer R. Weinert & Elizabeth Dobis & Karyn Malinowski, 2020. "The Evolution of Racehorse Clusters in the United States: Geographic Analysis and Implications for Sustainable Agricultural Development," Sustainability, MDPI, vol. 12(2), pages 1-31, January.

    More about this item

    Keywords

    Business concentration; Herfindahl-Hirschman Index; relative variability;
    All these keywords.

    JEL classification:

    • E00 - Macroeconomics and Monetary Economics - - General - - - General
    • G00 - Financial Economics - - General - - - General
    • M20 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:iosjes:0001. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Saskia van Wijngaarden (email available below). General contact details of provider: http://www.iospress.nl/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.