MACRO ECONOMICS

Macro Economics

[Name of Student]

Macro Economics

Introduction

There are several ways of classifying different industries; one way is through Concentration Ratio. Concentration ratio defines the total production of large firms with-in an industry. It is divided into three levels of concentration. It is explained in the given table below.

Low Concentration

0% to 50%

Medium Concentration

50% to 80%

High Concentration

80% to 100%

(Robert, 1999)

Industry A

The industry, which is selected as a low-concentration industry, is Agricultural Industry. In United States, this industry has almost perfect competition. The main characteristics of Agricultural industry are forestry, fishing, and extraction of raw material. This industry consists of live-stock production ...