For the purpose of measuring credit portfolio or market Concentration Risk (e.g., name, sector or geographic risk), diversity or inequality metrics, the Herfindahl-Hirschman Index (HHI) is defined as the sum of all squared relative portfolio shares of the exposures. The Herfindahl-Hirschman Index (HHI) takes into account the relative size distribution of the companies that compete in a market. The larger the number of firms of relatively equal size the nearer to zero it approaches, and reaches its 10,000 maximum points when a market is controlled by just one firm. Regulators use various tools, including the Herfindahl-Hirschman Index (HHI) formula, to gauge the effect of mergers on market share. Market Share Analysis A company's market share is its percentage of total sales within a market or industry. The Herfindahl-Hirschman Index (HHI) is a tool used by regulators to determine the level of competition in a specific market. In smaller markets, this tool can also hamper the ability of community banks to merge with a crosstown rival, according to a recent article in the Regional Economist. The Herfindahl-Hirschman Index Stephen A. Rhoades, of the Board's Division of Research and Statistics, prepared this technical note. The Herfindahl-Hirschman index, better known as the Herfindahl index, is a statistical measure of concentration. It has achieved an unusual degree of visibility for a statistical index because of its use by the Herfindahl-Hirschman index (HHI) and industry quotients—to measure occupational specialization by industry. Although some industries use specialized labor highly intensively, others rely on less specialized occupations that are also prevalent elsewhere in the economy. These differences in industry staffing patterns
concept of market concentration and the statistic often used to measure it, the Herfindahl-Hirschman Index (HHI). The second section discusses how changes in
9 Apr 2018 The Herfindahl-Hirschman Index (HHI) is a widely used measure of concentration in a variety of fields including, business, economics, political Despite numerous articles concerning the Herfindahl-Hirschman index (HHI) in this and other journals, there still appears to be a need for a good intuitive Created with Highcharts 8.0.0 Atomic Number HHI Herfindahl-Hirschman Index ( HHI) for all elements values calculated from USGS mineral commodity statistics, helpful in the measurement of business concentration, for instance through the likes of the. Herfindahl-Hirschman Index (HHI), it is not helpful with understanding
Change in the Herfindahl-Hirschman Index: ∆HHI = HHIpost. HHIpre = 2s1s2. These measures place the merger in one of the following categories: 1. HHIpost
In particular, I argue for abandoning the use of the HHI in analyzing network industry mergers because the index generates little useful information about these
You can use this quick and simple calculator to determine the value of the Herfindahl-Hirschman Index for a provided list of companies in accordance with their
17 Aug 2018 hhi: Calculate and Visualize the Herfindahl-Hirschman Index. Based on the aggregated shares retained by individual firms or actors within a The Herfindahl index is a variation of the market concentration marketing metric. Instead of a simple sum of the market shares of the larger brands in the Downloadable! hhi5 generates Herfindahl-Hirschman index (HHI) variables also commonly known as concentration index in economics and finance.
31 Jul 2018 The term “HHI” means the Herfindahl–Hirschman Index, a commonly accepted measure of market concentration. The HHI is calculated by
The Herfindahl-Hirschman Index (HHI) is a commonly accepted and used measure of market concentration. It is calculated by squaring the market share of each The Herfindahl-Hirschman Index (HHI) is a commonly accepted measure of market concentration. It is calculated by squaring the market share of each firm competing in a market and then summing the The Herfindahl index (also known as Herfindahl–Hirschman Index, HHI, or sometimes HHI-score) is a measure of the size of firms in relation to the industry and an indicator of the amount of competition among them. Herfindahl-Hirschman index (HHI), also called HH index, in economics and finance, a measure of the competitiveness of an industry in terms of the market concentration of its participants. Developed by the American economist Orris C. Herfindahl and the German economist Albert O. Hirschman, it is based on the following formula: HHI = s 1 2 + s 2 2 + ⋯ + s n 2 where n is the number of firms in The Herfindahl-Hirschman Index is an index that measures the market concentration of an industry. A highly concentrated industry is one where only a few players in the industry hold a large percentage of the market share, leading to a near- monopolistic Monopolistic Competition situation.