Well. If the average size of firms has gone up so has market concentration. Market concentration brings market power, market power brings arrangements that fa

Well. If the average size of firms has gone up so has market concentration. Market concentration brings market power, market power brings arrangements that favor those who hold that power. In general, markets with low concentration are defined by competition while markets with high concentration are defined by power. For measures of concentration see the HHI or the concentration ratios. [0] - http://en.wikipedia.org/wiki/Herfindahl_index http://en.wikipedia.org/wiki/Herfindahl_index [1] - http://en.wikipedia.org/wiki/Concentration_ratio http://en.wikipedia.org/wiki/Concentration_ratio